- The IMF completed its first review of El salvador’s fund program, confirming progress on economic reforms and Bitcoin management.
- The country must keep Bitcoin holdings in government-controlled wallets unchanged to meet program conditions.
- Reforms include removing Bitcoin’s mandatory legal tender status and winding down the state-operated Chivo Wallet by July 2025.
- The IMF board approved a $1.4 billion arrangement, with $120 million disbursed initially; further funds depend on continued compliance.
- El Salvador discloses its Bitcoin treasury holdings, with updates available through its official address, as required by the IMF.
El Salvador has completed the first review set by the International Monetary Fund (IMF) for its current financial agreement after meeting several key reforms related to its Bitcoin policy and broader economy. This review comes after a formal agreement in which the IMF confirmed that El Salvador’s economic performance has met expectations across all specified areas, including compliance with Bitcoin commitments.
According to an IMF press release published on May 27, the country must keep the total amount of Bitcoin in all government-controlled wallets unchanged. The government must also end its direct involvement in the Chivo Wallet—El Salvador’s official Bitcoin wallet—by July 2025. The IMF approved a total arrangement of $1.4 billion for El Salvador in February 2025, with an initial payment of $120 million already delivered. Continued access to future funds depends on meeting these program requirements.
The IMF stated, “The authorities have made significant progress in implementing their economic reform plan under the IMF-supported program. Most program targets set for the first review were comfortably met, and implementation of the structural benchmarks is progressing well.” Steps required by the agreement include removing Bitcoin’s status as mandatory legal tender, full disclosure of public-sector Bitcoin holdings, and winding down state involvement in the Chivo Wallet. These changes are needed to open up further funding from institutions like the World Bank, with potential access to about $3.5 billion.
El Salvador’s public Bitcoin holdings can be tracked through its treasury address, which is updated regularly by the government. At the time of publication, this address shows about 6,189 Bitcoin. The IMF review confirms the total amount of Bitcoin held by the public sector has not changed since the agreement was reached, even though some other addresses may be used by the government.
This approach highlights the balance between the IMF’s calls for transparency and regulatory changes and El Salvador’s continued promotion of its national Bitcoin reserves. The country maintains public updates of its Bitcoin holdings while following IMF requirements to avoid new state-led crypto programs.
The arrangement holds as long as El Salvador keeps up with IMF conditions. As of now, both the IMF and El Salvador present consistent narratives regarding Bitcoin, with no contradiction between the government’s disclosures and the IMF’s requirements.
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