The International Monetary Fund ( IMF ) stated that El Salvador has submitted documentation indicating that the increase in Bitcoin holdings since June 27, 2025, was not due to purchases with public funds, but rather from private donations. This statement appears in a staff-level agreement issued on September 3 by IMF, which relates to the second and third merger reviews of the country's Extended Fund Arrangement ( EFF ).
Private donations have become a new source of funding.
According to IMF, materials provided by the Salvadoran side show that the amount of Bitcoin credited to government-controlled wallets after the relevant time point increased from private donations, rather than fiscal resources. The statement did not disclose the identities of the donors nor specify the exact quantity of Bitcoin.
This clarification responds to previous doubts from the outside world regarding El Salvador's "continuous buying of Bitcoin." On-chain records can only show that assets are entering a certain address, but they cannot directly distinguish whether these assets come from market purchases, are accumulated between addresses, or are external donations.
140 million US dollars to be released after approval or release
IMF The staff has reached an agreement with the Salvadoran authorities regarding the merger review, but the relevant arrangements still require approval from the IMF Executive Board. Additionally, the Salvadoran side needs to complete the agreed-upon preliminary actions.
If the above conditions are met, El Salvador will be able to obtain approximately $140 million in funds, which corresponds to 101.96 million Special Drawing Rights (SDR). In February 2025, IMF approved a 40-month EFF for the country, with a total financing scale of about $1.4 billion.
Chivo Transition to Private Operation
The statement also mentioned that El Salvador has significantly reduced the direct involvement of the government in the Chivo electronic wallet. Chivo is the official electronic wallet launched by the country when promoting Bitcoin policies, and currently, most of its equity and operational control have been transferred to an unnamed private operator.
The government still retains a minority stake and continues to assume responsibility for the custody of customer assets. In accordance with the original EFF conditions, El Salvador has changed the requirement for the private sector to accept Bitcoin to a voluntary arrangement, while also requiring taxes to continue to be paid in US dollars and restricting the public sector from participating in Bitcoin-related activities.
No longer expecting to add new Bitcoin positions.
IMF indicates that both parties have reached a consensus that in the future, there will be no additional holdings of Bitcoin beyond the scope of recorded private donations. Furthermore, both parties agree to advance adjustments to the legal, regulatory, and supervisory frameworks for digital assets, as well as to strengthen governance and risk control over encrypted assets held by the public sector.
