El Salvador plans to stop increasing its Bitcoin holdings using public funds, and the Chivo digital wallet has largely withdrawn from public use.

The International Monetary Fund (IMF) announced that it has reached a staff-level agreement with El Salvador’s authorities on the combined second and third reviews under the Extended Fund Facility (EFF). If approved by the IMF Executive Board, El Salvador will receive approximately $140 million (equivalent to SDR 101.96 million). Regarding Bitcoin-related arrangements, the IMF confirmed several key facts: the Chivo e-wallet has largely withdrawn from public participation, with most ownership and operational control transferred to private operators; Bitcoin holdings added since the first review have been verified via documents to come from private donations, with no public funds used; El Salvador has committed it will not acquire any additional Bitcoin in the future beyond the already recorded private donations. The two sides also reached an understanding on modernizing the legal, regulatory and supervisory framework for digital assets, as well as strengthening governance and risk management arrangements for public sector crypto asset holdings. Structural reforms including pension reform, civil service reform, strengthening the central bank’s institutional and financial standing, and enhancing anti-money laundering/counter-terrorist financing (AML/CFT) frameworks will continue to advance. The IMF emphasized that strong program ownership and timely implementation of reforms remain critical for further bolstering macroeconomic stability and resilience, and creating conditions for sustainable, inclusive private-sector-led growth.