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Bitcoin use in El Salvador drops over 99% despite legal tender status and ongoing government purchases.

Market News
26 Aug 2026
AMBCrypto
View Source
Bearish
Bitcoin use in El Salvador drops over 99% despite legal tender status and ongoing government purchases.

El Salvador was the first country to adopt Bitcoin as legal tender in 2021, aiming to boost economic growth and attract investors. Initially, many citizens and businesses used Bitcoin, but usage has since plummeted by over 99.8%, with most Salvadorans reverting to card payments and holding Bitcoin as a long-term investment. Government policy shifts, including IMF pressure to remove mandatory Bitcoin acceptance and reduce purchases, have further decreased daily Bitcoin transactions. Despite this, El Salvador continues to buy and hold Bitcoin as a treasury asset, reflecting a shift from using it as a payment method to viewing it as a store of value.

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