Nayyib Bukele, the President of El Salvador, revealed that the Central American nation generates multiple Bitcoin incomes through various channels in addition to its BTC holdings.
In a March 11. after on social media platform X (formerly Twitter), the president outlined four additional sources of Bitcoin revenue for the government, including:
- Income from the passport program.
- Income generated from Bitcoin mining.
- Profit from helping local businesses convert BTC to USD, and
- Income from undisclosed government services.
BTC-related income streams
El Salvador’s groundbreaking ‘Bitcoin for Citizenship’ initiative is a cornerstone in the country’s BTC revenue framework and embodies a new approach to driving domestic progress through digital assets.
Under this scheme, up to 1,000 individuals can secure citizenship annually by investing $1 million worth of BTC or USDT in the country.
Furthermore, El Salvador is tapping into Bitcoin’s potential through mining operations. Last year, the nation started on a major public-private partnership, injecting $1 billion to build one of the largest Bitcoin mining facilities. This company prioritises renewable energy sources and enjoys strong support from key industry players.
Significantly, 23% of the net proceeds from the mining project are earmarked for the Salvadoran government.
Furthermore, President Bukele highlights the government’s profits from converting BTC to USD, which benefits local businesses, and pioneering innovative financial instruments such as Bitcoin bonds.
$85 million profit
Bukele’s revelation coincided with El Salvador’s BTC investment, which saw around 70% gains following the crypto market’s rally.
Since El Salvador declared Bitcoin legal tender in 2021, the country has strategically acquired the best cryptocurrency even during the bear market situations, which caused significant losses to its portfolio.
This steadfastness is paying off, with Bitcoin’s value rising to a new all-time high of over $72,000. The country’s portfolio now stands at 2,861 BTC, valued at approximately $207 million, with an unrealized gain of approximately $85 million.
Despite these significant gains, President Bukele emphasized that El Salvador has no plans to sell its BTC holdings. Instead, the country considers them a permanent reserve, indicating a long-term commitment to its crypto strategy.
The post President Bukele defends El Salvador’s multiple Bitcoin revenue streams first appeared on CryptoSlate.