El Salvador will transfer “a large portion” of its bitcoin assets to an offline device that will be stored in a physical vault within the Central American country’s territory, President Nayib Bukele said Thursday.
“We have decided to transfer a large portion of our Bitcoin to a cold wallet and store that cold wallet in a physical vault within our national territory,” said Bukele, who last month was re-elected for a second term as president. in a post on X. “It’s not much, but it’s honest work.”
According to Bukele’s social media account on Thursday, El Salvador’s bitcoin portfolio is close to $407 million.
The true size of the holdings remains unclear, but a recent rally in bitcoin values has reignited interest in the world’s largest, albeit volatile, cryptocurrency.
In September 2021, El Salvador became the first country in the world to establish bitcoin as legal tender, earning it harsh criticism. One of the loudest critics was the International Monetary Fund, which has been negotiating a large loan with the cash-poor country.
On Thursday, Bitcoin hit an all-time high of $73,800.
Bukele has also outlined plans for a tax-free crypto paradise powered by geothermal energy from a volcano. As he prepares to begin his second term as president, construction of this so-called Bitcoin City has not yet begun.
