Crypto News: Why El Salvador Is Buying Gold Without Dropping Bitcoin

Key Insights

  • Today’s crypto news piece shows El Salvador using gold for reserve stability while Bitcoin remains a separate long-term bet.
  • The central bank is increasing gold holdings to support liquidity and lender confidence.
  • Bitcoin purchases continue outside official reserves through government policy.

El Salvador’s central bank has added more gold to its reserves in today’s big crypto news, even as the government continues to buy Bitcoin. The two actions happened within the same week, but they are handled by different parts of the state and serve different roles.

This split is easy to miss at first glance, but it explains why the country can increase gold holdings without changing its Bitcoin stance.

Crypto News: El Salvador Is Adding Gold to Its Reserves

As per the latest crypto news, El Salvador central bank bought around 9,300 troy ounces of gold, spending close to $50 million. This brings total gold holdings to roughly 67,400 ounces, valued near $360 million based on current prices.

This purchase happened as the gold price crashed as part of the broader risk pullback event.

Crypto News: EL Salvador Buys Gold | Source: X
Crypto News: EL Salvador Buys Gold | Source: X

This was the second gold purchase made by the central bank since September 2025. Before that, the country had not added to its gold reserves in decades.

Since the first purchase, gold prices have risen, increasing the value of the holdings without additional buying. Besides, it also comes amid a time when the crypto market faces massive selling pressure.

Because the price of gold moved higher after the purchase, the reserve position improved without the central bank needing to add more capital.

Gold is commonly used by central banks because it can be held without credit risk and is accepted across financial systems. Globally, gold makes up about one-fifth of central bank reserves, second only to foreign currencies.

In times of stress, gold is often treated as neutral collateral, which makes it useful even when markets are unstable.

The timing also lines up with changes made after El Salvador reached agreements with international lenders. Those agreements emphasized reserve stability and liquidity, which fits gold more closely than volatile assets.

From a reserve management view, this keeps funding access predictable during periods of market pressure.

BTC Buying Being Handled Separately Is a Bigger Piece of Crypto News

At the same time, the government continues to add Bitcoin through its daily purchase policy, which has made headlines in the crypto news column. As of late January 2026, El Salvador holds over 7,500 BTC, with a market value above $600 million, depending on price.

These Bitcoin holdings are not managed by the central bank. They sit outside official reserves and are handled through the executive branch and the national Bitcoin office.

This separation keeps Bitcoin price swings from affecting reserve calculations or lender discussions. Also, it stands against the assumptions made by random folks on X that El Salvador is now choosing gold over BTC.

As per the latest crypto news updates, the daily Bitcoin buys have continued even during recent market drops. No large reserve-level Bitcoin purchases have been announced by the central bank since early 2025.

That gap shows the difference between reserve policy and long-term accumulation strategy.

Gold and Bitcoin Are Playing Different Roles

The way these assets are handled shows a clear division of responsibility. Gold is being used inside official reserves, where stability and access matter most.

Bitcoin is being accumulated outside that system, where price swings do not affect reserve operations. Each asset is doing a specific job rather than competing with the other.

This structure allows the central bank to operate within traditional reserve frameworks, while the government maintains exposure to Bitcoin independently.

It also avoids forcing one asset to justify the other. For now, both strategies are running in parallel, as highlighted in this crypto news bit.

Gold is strengthening reserve buffers, and Bitcoin remains a separate holding tied to longer-term policy choices.

Source: https://www.thecoinrepublic.com/2026/01/30/crypto-news-why-el-salvador-is-buying-gold-without-dropping-bitcoin/