Strategy (formerly MicroStrategy) and El Salvador have both seen significant gains from their Bitcoin holdings as the cryptocurrency market continues to soar.
Strategy Chairman Michael Saylor recently announced that the company’s Bitcoin portfolio has reached an all-time high of $77.2 billion. This is nearly double the valuation recorded in 2024 and represents a 40-fold increase from the initial investment of $2.1 billion in 2020. The firm currently holds 628,946 BTC, valued at around $76.52 billion, resulting in paper profits of over $30 billion. This success has solidified Strategy’s position as one of the world’s largest corporations.
Despite initial skepticism about the risks of heavy exposure to a volatile asset like Bitcoin, Strategy’s accumulation strategy has been vindicated by BTC’s rally. The company is now expanding its Bitcoin-centric offerings, launching a suite of BTC-backed financial instruments to attract additional investment and grow its Bitcoin reserves further.
On the other hand, El Salvador has also seen substantial gains from its Bitcoin holdings. President Nayib Bukele revealed that the nation’s holdings have grown to $768.85 million from an initial investment of $300.5 million, resulting in a profit of approximately $468.3 million, or 155.82%. The country has been actively promoting Bitcoin adoption through daily purchases using a disciplined dollar-cost-averaging approach. According to blockchain analytics firm Lookonchain, replicating El Salvador’s daily buying strategy would have yielded a 115% return.
In addition to its investment gains, El Salvador is moving forward with plans for a dedicated Bitcoin bank to further integrate the top cryptocurrency into its financial system. However, the country has faced opposition from institutions like the International Monetary Fund (IMF) over its adoption of Bitcoin. The IMF has raised concerns about El Salvador’s Bitcoin purchases and suggested that some reported acquisitions may be internal wallet transfers rather than fresh Bitcoin buys.
Overall, both Strategy and El Salvador have benefitted significantly from their Bitcoin holdings, showcasing the potential for substantial gains in the cryptocurrency market. As Bitcoin continues to rise in value, these entities are poised to capitalize on the growing importance of digital assets in the global economy.