El Salvador's Bitcoin Treasury Triples as BTC Hits $122K, Bukele Declares Victory

El Salvador’s high-stakes Bitcoin strategy has entered a new chapter of vindication, with the nation’s crypto reserves surpassing $760 million in value as Bitcoin crossed $122,000 over the weekend. What once seemed like a financial gamble is now shaping up to be one of the most lucrative government investment decisions in recent memory.

The Central American country currently holds over 6,237 BTC, acquired at an average cost of around $42,000. With Bitcoin now trading at over $122,000, El Salvador’s crypto portfolio has nearly tripled, generating paper profits that few sovereign funds or traditional reserve assets can rival.

President Nayib Bukele’s administration became the first in the world to adopt Bitcoin as legal tender back in 2021, during a time when the market was highly volatile and global institutions like the IMF and World Bank openly criticized the move. Despite international pressure and a brutal crypto winter, El Salvador continued to buy the dips—an approach now hailed by some as visionary.

“This could become a defining case study in how digital assets reshape national reserves,” said Pranav Agarwal, an independent director at India’s first listed Bitcoin treasury firm. He emphasized that the long-term performance of Bitcoin justifies such bold moves, especially for countries looking to diversify away from traditional monetary systems.

However, not everyone is celebrating. The U.S. Congress recently introduced the El Salvador Accountability Act of 2025, which calls for an investigation into the country’s Bitcoin strategy and raises the possibility of sanctions. Bukele, never one to shy away from confrontation, publicly mocked the legislation on X, framing it as another example of external overreach.

The International Monetary Fund has also expressed concern, previously urging El Salvador to scale back its crypto ambitions. Although the government later made Bitcoin acceptance optional for businesses, it never backed down from accumulating the asset on its balance sheet.

Now, as Bitcoin surges past $122K and El Salvador’s holdings shine with massive unrealized gains, the world is beginning to take a closer look at the so-called "Bukele model." What started as a controversial experiment is now rewriting the rules of sovereign asset management.