The President of El Salvador, Nayib Bukele, has announced that the country has bought during the recent Bitcoin (BTC/USD) dip. The purchase came after Bitcoin dipped to the lows of below $54,000 on November 26.
The recent purchase was made at a value of over $5 million, with the country adding 100 more coins to its holdings.
El Salvador buys 100 more Bitcoins
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In a Friday tweet, Bukele stated that “El Salvador just bought the dip. 100 extra coins acquired with a discount.” The recent dip in the prices of Bitcoin comes as a new coronavirus variant was discovered in South Africa.
Bitcoin reached a record high of $69,000 on November 10, but it has shed 20% of its value since then. At the time of writing, Bitcoin is trading at around $54,300 after a 5% dip in the past 24 hours.
Bukele started using Bitcoin as legal tender in September and became the first country to officially endorse Bitcoin as an official currency. The Bitcoin law was first implemented on September 7 when the price of Bitcoin was around $52,000.
Before the current purchase, El Salvador had a total holding of 1120 Bitcoin. With the latest addition of 200 Bitcoin, the country’s total Bitcoin holdings are worth around $66.3 million at the current prices.
Since the Bitcoin law was implemented, El Salvador has undertaken several initiatives to make the country crypto savvy. The country announced the construction of 20 Bitcoin schools and a veterinary clinic from the proceeds of Bitcoin. The president also recently announced plans to build a Bitcoin city.
El Salvador’s Bitcoin law gets criticism
While the Salvadoran government has posted many benefits coming from the Bitcoin law, the currency’s adoption has not been void of criticism. Some residents in the country have protested against this law, and in September, they destroyed one of the Chivo wallet kiosks.
Recently, the governor of the Bank of England, Andrew Bailey, stated that he was concerned about the high volatility of Bitcoin, which made it risky to be used as a legal tender. He further noted that the bigger concern was whether Salvadorans using the currency understood its nature and risks.
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