IMF Finds El Salvador Used Private Donations to Expand National Bitcoin Reserves

Summary

• El Salvador funded Bitcoin reserve growth through documented private donations rather than public money beginning in June 2025.
• IMF financing reviews could unlock $140 million while requiring stronger transparency and tighter controls over public-sector cryptocurrency holdings and wallets.
• A private operator controls Chivo while Bitcoin traded near $81,000, carrying a market capitalization of approximately $1.6 trillion.

 

El Salvador used private donations rather than public funds to expand its Bitcoin reserves from June 2025, the International Monetary Fund revealed. According to the IMF, Salvadoran authorities provided documents confirming that Bitcoin additions came from private donations.

IMF Agreement Sets Limits on El Salvador’s Bitcoin Accumulation

IMF staff released the finding alongside an agreement covering the second and third reviews of El Salvador’s 40-month Extended Fund Facility. Approval and agreed measures could unlock approximately $140 million in additional financing.

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However, the program requires authorities to limit public involvement in Bitcoin and strengthen oversight of cryptocurrency assets linked to state institutions. The IMF previously sought assurances that El Salvador would keep its government-funded Bitcoin holdings unchanged during the economic program.

Nevertheless, the country’s Bitcoin Office reported an 8 BTC addition, which increased its holdings to 6,190.18 BTC at that time. El Salvador later disclosed a 1,090 BTC acquisition worth approximately $100 million, marking its largest reported single-day Bitcoin addition.

That transaction raised the country’s holdings to 7,474 BTC, although the IMF now attributes post-June growth to documented private donations. The IMF did not disclose the amount donated, the contributors’ identities, or the separate value of each contribution.

Consequently, observers cannot determine how much privately donated Bitcoin entered government-controlled wallets during the covered period. Moreover, the fund expects no accumulation beyond the documented private donations. El Salvador is also improving transparency across several wallets while strengthening governance and risk management for public-sector cryptocurrency holdings.

Government Reduces Its Role in Chivo Wallet

Meanwhile, authorities have substantially reduced public participation in Chivo, the cryptocurrency wallet introduced alongside the country’s Bitcoin strategy. A private operator now holds majority ownership and manages daily operations, while the government retains a minority interest.

However, the state still carries custodial responsibilities for customer assets held through the Chivo platform. Bitcoin traded near $81,000 on Friday, gaining 4.5% during the preceding 24 hours, while market capitalization reached approximately $1.6 trillion. Ultimately, the IMF disclosure connects recent reserve growth to private donations while separating those additions from government-funded Bitcoin purchases.

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