IMF Approves $138 Million for El Salvador After Waiving Bitcoin Accumulation Limit

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IMF Approves $138 Million for El Salvador After Waiving Bitcoin Accumulation Limit
PrimeXBT Editorial Team
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The IMF released about $138 million to El Salvador after waiving missed terms of its loan program, including a limit on public Bitcoin accumulation. The fund says recent additions to the country's Bitcoin reserve came from private donations, not state money, but wants El Salvador's remaining exposure to the Chivo wallet fully unwound.

The IMF approved an immediate disbursement of about $138 million to El Salvador on October 1, after granting waivers for missed program conditions, including a limit on Bitcoin accumulation. The fund's executive board completed the second and third reviews of the country's Extended Fund Facility arrangement, unlocking 101.96 million Special Drawing Rights, or about $138 million, under a 40-month, roughly $1.4 billion program approved on February 26, 2025.

Waivers tied to a zero-accumulation rule

The original program set a continuous ceiling of zero on voluntary Bitcoin accumulation by the public sector, covering purchases and mining but excluding holdings from law-enforcement seizures and forfeitures. IMF staff said on September 3 that documentation verified Bitcoin accumulation since the first review reflected private donations, and that no public resources had been used. The fund said no further Bitcoin accumulation is envisaged beyond the documented donations. The October board statement does not specify how many bitcoins were involved in the breach.

The reserve keeps growing

El Salvador's Bitcoin reserve held between 7,760 and 7,792 BTC as of late September to early October 2026, according to Crypto Briefing, with the exact count depending on which snapshot is checked. Depending on Bitcoin's price, the reserve has been valued at approximately $598 million to $660 million. Holdings have climbed from approximately 5,968 to 6,070 BTC when the program began, an increase of more than 1,700 BTC since.

Chivo ownership shifts to a private operator

For the Chivo wallet, the IMF reported that majority ownership and control had transferred to a private operator, with the government retaining a minority stake and custodial responsibilities for customer assets. IMF First Deputy Managing Director Dan Katz welcomed the transfer but said the "residual public-sector exposure should be fully unwound." The fund also said fiscal consolidation had advanced broadly in line with program objectives, and that reserve and liquidity targets were comfortably met.

The waiver lets financing proceed despite the earlier noncompliance, but the fund's statement still calls for limiting Bitcoin accumulation rather than unrestricted government buying.

Sources: International Monetary Fund, Crypto Briefing

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