Crypto losses popularity in El Salvador
New data from the Central Bank of El Salvador reveals that crypto-based remittances to the country fell by 44.5% year-over-year in the first four months of 2025.
Only $16 million in crypto was received from abroad between January and April, compared to $28.83 million during the same period in 2024, reports El Mundo.
Crypto transfers now make up just 0.52% of El Salvador’s total $3 billion remittance inflows for the quarter—well below the government’s initial goal of disrupting the traditional remittance sector.
Public disinterest and policy shifts fuel the decline
Despite the initial push for widespread crypto adoption, including President Nayib Bukele’s promotion of Bitcoin as a tool to reduce the $400 million lost annually to remittance fees, usage has not only stalled but continues to decline.
Analysts attribute this slump to several factors, notably the diminished public sector role in promoting Bitcoin, and the planned dissolution of the Chivo Wallet, once the primary state-backed channel for crypto remittances. Without viable alternatives, Salvadorans appear to be reverting to conventional remittance services, even at higher fees.
October 2021 peak remains unmatched
Crypto remittances had a brief moment of prominence in October 2021, accounting for 5% of all inflows after El Salvador became the first country to adopt Bitcoin as legal tender. Since then, public interest and usage have been steadily waning. The perception that crypto is being deprioritized or even “confined” by the government may further discourage usage. Despite early ambitions, the remittance use case has failed to achieve the scale envisioned by Bukele’s administration, with incumbent financial institutions maintaining a dominant hold on cross-border transactions.
Recently we wrote that Brazil is on the brink of a monumental shift in global financial policy, as Bill PL 4501/2024—which would allow the allocation of up to 5% of Brazil’s $370 billion international reserves into Bitcoin—advances through the Chamber of Deputies.
Latest Crypto News
-
Afghanistan
-
Albania
-
Algeria
-
Angola
-
Argentina
-
Armenia
-
Australia
-
Austria
-
Azerbaijan
-
Bahamas
-
Bahrain
-
Bangladesh
-
Belarus
-
Belgium
-
Bolivia
-
Botswana
-
Brazil
-
Brunei
-
Bulgaria
-
Cambodia
-
Cameroon
-
Canada
-
Chile
-
China
-
Colombia
-
Congo
-
Costa Rica
-
Cote d'Ivoire
-
Croatia
-
Cuba
-
Cyprus
-
Czechia
-
DR Congo
-
Denmark
-
Dominican Republic
-
Ecuador
-
Egypt
-
El Salvador
-
Estonia
-
Eswatini
-
Ethiopia
-
Finland
-
France
-
Georgia
-
Germany
-
Ghana
-
Greece
-
Haiti
-
Hong Kong
-
Hungary
-
India
-
Indonesia
-
Iran, Islamic republic
-
Iraq
-
Ireland
-
Israel
-
Italy
-
Jamaica
-
Japan
-
Jordan
-
Kazakhstan
-
Kenya
-
Korea
-
Kuwait
-
Kyrgyzstan
-
Laos
-
Latvia
-
Lebanon
-
Lesotho
-
Libya
-
Lithuania
-
Luxembourg
-
Madagascar
-
Malaysia
-
Malta
-
Mauritius
-
Mexico
-
Moldova
-
Mongolia
-
Montenegro
-
Morocco
-
Mozambique
-
Myanmar
-
Namibia
-
Nepal
-
Netherlands
-
New Zealand
-
Nigeria
-
North Macedonia
-
Norway
-
Oman
-
Pakistan
-
Palestine
-
Panama
-
Papua New Guinea
-
Paraguay
-
Peru
-
Philippines
-
Poland
-
Portugal
-
Puerto Rico
-
Qatar
-
Reunion
-
Romania
-
Rwanda
-
Saudi Arabia
-
Serbia
-
Singapore
-
Slovakia
-
Slovenia
-
Somalia
-
South Africa
-
Spain
-
Sri Lanka
-
Sweden
-
Switzerland
-
Syria
-
Taiwan
-
Tajikistan
-
Tanzania
-
Thailand
-
Trinidad and Tobago
-
Tunisia
-
Turkey
-
UAE
-
Uganda
-
Ukraine
-
United Kingdom
-
United States
-
Uruguay
-
Uzbekistan
-
Venezuela
-
Vietnam
-
Yemen
-
Zambia
-
Zimbabwe
- Forex
- Crypto
