Bitcoin isn’t just for everyday investors. Some governments also hold it, either by purchasing it or acquiring it through asset seizures. El Salvador recently took advantage of a price drop, adding 11 more BTC to its reserves for just over $1 million. That brings the country’s total Bitcoin holdings to 6,068 BTC, worth more than $595 million at current price.
El Salvador has been buying Bitcoin since 2021, when it became the first country to recognize it as legal tender. With this latest purchase, it now ranks among the top six government Bitcoin holders. But how does it compare to other countries?
Top 6 Governments Holding Bitcoin
Even though some officials have dismissed Bitcoin as a reserve asset, some governments already hold large amounts. Here’s a look at the six biggest Bitcoin-holding governments:
- United States – 198,109 BTC
- China – 190,000 BTC
- United Kingdom – 61,245 BTC
- Ukraine – 46,351 BTC
- Bhutan – 11,523 BTC
- El Salvador – 6,068 BTC
The United States holds the most Bitcoin, followed closely by China. However, most of their holdings come from asset seizures, not direct purchases. El Salvador, on the other hand, actively buys Bitcoin as part of its long-term plan, adding at least one Bitcoin per day. The story of Bhutan is different to the others, their Bitcoin holdings come directly from its own mining operations.
Challenges in Bitcoin Adoption
While El Salvador keeps expanding its Bitcoin reserves, everyday adoption in the country hasn’t been as widespread as expected. President Nayib Bukele has pushed for more integration, but not everyone has fully embraced it yet.
Still, the government remains committed to its strategy. With Bitcoin’s price expected to fluctuate, El Salvador sees these market dips as a chance to strengthen its position. Whether more governments follow its lead remains to be seen, but for now, El Salvador continues to increase its holdings while others mainly hold Bitcoin from past seizures.
With Trump leading the country, the United States is expected to expand on its leading position as the world’s largest nation to hold Bitcoin. The Bitcoin world is eagerly anticipating the announcement of a Strategic Reserve. Elsewhere across the pond, it is Czech Republic that is examining Bitcoin for its National Reserves.
With nation states entering the competition for the best prices for Bitcoin, we can begin to see a global ‘arms race’ when it comes to buying Bitcoin, which will hopefully take prices up to a new level. It is essentially the classic game theory playing out; nobody wants to be last to start buying Bitcoin.
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