El Salvador Strengthens Security of Its Bitcoin Reserves with New Storage System

The National Bitcoin Office in El Salvador has revealed a proactive plan to divide the national reserves of the cryptocurrency across multiple addresses, in a move aimed at "improving security conditions" and enhancing the protection of the country's digital assets.

Unlike the previous strategy that relied on a single address, the office clarified that each new address (X) will hold up to 500 bitcoins, which is equivalent to "about 54 million US dollars according to recent prices". It also announced that "a public dashboard will allow access to the full balance of these addresses", according to "Reuters".

This decision comes as part of El Salvador's steadfast policy to support and develop the adoption of cryptocurrencies, as the "Central American country has increased its stake in Bitcoin for years". The value of these investments, as of last Friday, was approximately "682 million dollars" of the volatile currency.

In the market, "Bitcoin has recovered from the crash it experienced during the week and rose, on Saturday, by 0.29% to 108,785.00 dollars".

El Salvador continues, as the first country in the world to adopt Bitcoin as legal tender, to strengthen its leadership in the global cryptocurrency landscape through ambitious initiatives such as launching the government wallet "Chivo", promoting Bitcoin education, and announcing plans to build a "Bitcoin City".

It is noted that the security of Bitcoin "relies on strong encryption algorithms. So far, this protection remains secure from hackers". However, the report points to a potential future challenge, as "if quantum computers develop rapidly, they may become capable of breaking these defenses", justifying the need for advanced security strategies like those being adopted by El Salvador now.