El Salvador’s 70% Bitcoin Ownership: Did Everyone Just Want Free Money?

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If you believed El Salvador was holding a bitcoin-themed block party where 70% of the population showed up with digital wallets and laser eyes, congratulations: you are this week’s lucky winner of “Misleading Statistics of the Month!” 🎉 According to mighty minds at Cornell University, El Salvador indeed reached over 70% bitcoin ownership at one point, but trust me, the reality isn’t quite as jaw-dropping as the headline. 🧐

Bitcoin Mania: The Mysterious Magic Behind the 70% Statistic

Oh, El Salvador. Just when the world was looking elsewhere, suddenly you’re the kid in class reportedly acing the crypto pop quiz. But let’s slow our crypto roll: following an IMF deal worth $1.4 billion and the ever-inquisitive Cornell Bitcoin Group study, numbers started making rounds claiming the entire country is halfway to being a live-action blockchain. But, and there’s always a but, let’s see what’s really bubbling in that tech cauldron.

The much-shared report reveals a juicy bite: over 70% of Salvadorans have owned bitcoin, which, in leaderboard fashion, places them above places like Venezuela—basically the Olympics of monetary weirdness. 🤷 But before you commission a bitcoin statue in San Salvador, brace yourself for the context (and perhaps a stiff drink).

Sure, bitcoin was made legal tender under President Nayib Bukele, who apparently never met a PR stunt he didn’t like, but what turbo-charged this bitcoin stampede was a free-money giveaway disguised as Chivo Wallet. Yes, the government gave out a $30 bitcoin airdrop just for proving you were, in fact, a real Salvadoran human. “Congratulations, here’s your taste of cyber-cash—spend it wisely!”

So what did the masses do? Imagine giving out coupons for free kale at a bacon festival. According to a survey by the U.S. National Bureau of Economic Research (NBER), about 60% of folks who grabbed the digital cash promptly dumped the app after the giveaway. Chivo—the app, not your uncle—now faces extinction, mourned by no one except a few nostalgic software engineers.

Compare this to Venezuela, where people cling to bitcoin like a lifeboat thanks to hyperinflation and currency problems so wild you half-expect Monopoly money to show up in ATMs. Different chaos, different use case.

But wait, there’s an even sadder plot twist: bitcoin didn’t even dominate the remittance scene. At its most popular, crypto’s share in money sent home by Salvadorans was less than 1%—not exactly the crypto revolution Bukele ordered. The rest stuck with the tried-and-true method of wiring fiat, probably while muttering about newfangled technology and how nothing beats classic cash.

So yes, El Salvador briefly became the bitcoin adoption capital—if by “adoption,” you mean “cashed the airdrop and ghosted.” 💸🚪

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2025-07-31 13:58