El Salvador became the world’s first country to accept bitcoin as legal cash in September.
El Salvador President Nayib Bukele announced on Friday that his country has purchased an additional 100 bitcoins after the digital currency’s value fell, increasing the country’s cryptocurrency holdings despite widespread criticism of the government’s policy.
Bitcoin, the world’s largest digital currency, plummeted 7.8 percent to $54,377 on Friday, its lowest level since October 12. It was on track for its largest one-day slide since September 20 and is already down more than 20% from a record high of $69,000 earlier this month.
“El Salvador just bought the dip. 100 extra coins acquired with a discount. #Bitcoin,” Bukele tweeted on Friday.
As of October 28, the country had bought 1,120 bitcoins.
El Salvador became the world’s first country to accept bitcoin as legal cash in September, attracting global media attention but also criticism from the opposition and foreign financial institutions.
Bukele has advocated for the use of bitcoin, claiming that it will allow millions of Salvadorans working abroad to send remittances back home. He also stated that it will promote financial inclusion, investment, tourism, and development.
However, the International Monetary Fund (IMF) advised on Monday that El Salvador should not use bitcoin as legal tender due to the risks associated with the cryptocurrency.