IMF Reaches El Salvador Deal, No Further Public Bitcoin Accumulation Expected
According to Cointelegraph, the agreement includes confirmation that no further Bitcoin accumulation by the public sector beyond those documented donations is expected. The development reinforces restrictions on government involvement in Bitcoin under El Salvador’s IMF-supported economic program.
IMF Confirms Bitcoin Accumulation Came From Private Donations
The IMF said on September 3 that its staff and Salvadoran authorities had reached a staff-level agreement covering the combined second and third reviews of the 40-month Extended Fund Facility arrangement. The agreement remains subject to approval by the IMF Executive Board and completion of agreed prior actions.
As part of the review, documentation provided to IMF staff verified that Bitcoin accumulated since the first review reflected private donations and that no public resources were used for the accumulation. The IMF said no further Bitcoin accumulation beyond the documented donations is expected going forward.
The clarification is significant because the IMF's program has placed limits on voluntary Bitcoin accumulation by El Salvador's public sector. Earlier program documents established a continuous performance criterion restricting such accumulation while requiring greater transparency around government-controlled Bitcoin holdings.
El Salvador’s Bitcoin Policy Under IMF Program
The latest review also addresses the government's broader involvement in Bitcoin-related activities. The IMF said public participation in El Salvador's Chivo e-wallet has been substantially unwound, with majority ownership and operational control transferred to a private operator. The government has retained a minority stake and custodial responsibilities for customer assets.
The IMF also said efforts are continuing to improve transparency around Bitcoin holdings across various wallets. The latest agreement includes understandings on modernizing the legal, regulatory and supervisory framework for digital assets, along with strengthening governance and risk-management arrangements for public-sector crypto-asset holdings.
The restrictions form part of the broader IMF program approved in February 2025. The 40-month facility was designed to support El Salvador's economic reforms while addressing fiscal, financial and Bitcoin-related risks.
IMF Review Still Requires Board Approval
The staff-level agreement does not represent the final approval of the latest review. The IMF said the agreement must still be considered by its Executive Board after the required prior actions are completed. If approved, El Salvador would receive around $140 million under the arrangement.
For the Bitcoin component of the program, the immediate issue is the continuation of the no-further-accumulation framework, with the IMF explicitly stating that future accumulation beyond the documented private donations is not expected.
writer: Ethan Collins
Crypto Journalist
Ethan Collins reports on developments across the cryptocurrency and blockchain sector. His work covers market movements, protocol updates, regulatory changes, and emerging trends in digital assets.
He focuses on presenting complex topics in a clear and accessible manner for a broad readership.
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