El Salvador has shown the International Monetary Fund that Bitcoin added since June 27, 2025 was obtained through private donations rather than public money, according to a Sept. 3 IMF statement tied to the country’s financing program.
The disclosure came as IMF staff and Salvadoran authorities reached a staff-level agreement on the second and third reviews of El Salvador’s Extended Fund Facility. The Fund also said it had an understanding with the government that no further Bitcoin accumulation is expected beyond the donations already documented by the authorities.
Staff-level deal advances EFF review
The latest IMF announcement covers a combined review of El Salvador’s 40-month Extended Fund Facility, which was approved in February 2025 with total access of about $1.4 billion. The new agreement is still preliminary and depends on approval by the IMF Executive Board as well as the completion of agreed prior actions.
If those steps are completed, El Salvador could receive about $140 million, equal to SDR 101.96 million. The country has already drawn SDR 172.32 million under the program, but the fresh disbursement is not yet available until the review is formally approved.
IMF details source of Bitcoin accumulation
In its statement, the IMF said Salvadoran authorities provided documentation showing that Bitcoin accumulated after June 27, 2025 came from private donations. The Fund said those additions did not use public resources.
The statement did not identify the donors or disclose how much Bitcoin was received. It also framed the issue narrowly around the documented accumulation since late June 2025, rather than offering a broader accounting of all government-linked Bitcoin holdings.
Chivo shifts further into private hands
The IMF also said El Salvador has sharply reduced the state’s role in Chivo, the digital wallet launched during the country’s Bitcoin rollout. According to the Fund, majority ownership and operational control have been transferred to an unnamed private operator.
The government continues to hold a minority stake and remains responsible for custody of customer assets. IMF staff said the authorities are also working to improve transparency around Bitcoin held across different wallets.
Conditions and next steps
Beyond the documented donations, the IMF said it reached an understanding with El Salvador that no additional Bitcoin accumulation is expected. The Fund’s wording presents that point as part of the staff-level understanding, not as a separately announced ban.
The two sides also agreed to pursue changes to the legal, regulatory and supervisory framework for digital assets, including stronger governance and risk controls for crypto assets held by the public sector. IMF staff added that El Salvador’s economic activity has exceeded earlier expectations and projected 4.5% real GDP growth in 2026, while still calling for further fiscal consolidation, stronger governance and lower public debt toward 80% of GDP by 2030.
The immediate next step is review by the IMF Executive Board. Only after board approval and the completion of prior actions would the additional financing be released.
Source: crypto.news