El Salvador is buying another 420 hot bitcoins

El Salvador‘s President Nayib Bukele tweeted today that his government took advantage of the recent Bitcoin price drop and added 420 BTC to the nation’s vault.

“It was a long wait, but it was worth it,” he said tweeted, “We just bought the dip!”

Thereafter he tweeted: “We benefited from it #Bitcoin we just bought. In the time between the tweets, the value of the country’s Bitcoin has increased by about 0.4%, or $ 100,000.

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Many online viewers speculated on the significance of El Salvador’s purchase of 420 bitcoin, a slang term for cannabis use.

“Beautiful! Burn it!” Reddit user Theylie86 commented on another term that is common in cannabis culture.

“I’m starting to think he’s doing it on purpose,” speculated Reddit user EGarrett. “Actually, now that I’m checking, he was born in 1981, so that’s probably what it was. It’s fun to see millennials start to inherit. ”

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Four hundred and twenty bitcoins are valued at approximately $ 24.6 million. This purchase brings the total bitcoins in the country to 1,120 BTC, valued at approximately $ 87.4 million. The land has an estimated average purchase price of just over $ 53,300.

El Salvador bought two lots of 200 BTC for the first time on September 6 of this year and grabbed another 150 BTC a day later when the country was also the first country in the world to legally bid for Bitcoin. On September 19, El Salvador bought another 150 BTC, bringing the country’s total inventory to 700 BTC.

However, other observers were less positive about the recent purchase and raised concerns about the security of the country’s Bitcoin holdings.

Twitter users @dolomiteHEX responded to the President’s tweet by asking, “Who has their private keys?” The user also asked what would happen if the land was hacked.

user @EnocWatcher shared these concerns, adding that bitcoin bought with taxpayers money should be kept in a publicly accessible facility.

Continue reading: Latin America benefits the most from crypto, says Uphold Exec

El Salvador’s central bank director Douglas Rodriguez told Bloomberg earlier this month that the Latin American nation continues to invest in the expectation that Bitcoin will soon lose its reputation as a speculative asset and become a system.

“We don’t see any risks. Probably the risk increases, ”said Rodriguez. Bitcoin will become “a payment system, a system of financial inclusion”.

Bitcoin price recently fell to $ 58,570 after hitting an all-time high of $ 66,976 earlier this month. Despite the decline, the cryptocurrency is still up around 20% since September 7th.