El Salvador has distributed 6,300 Bitcoins across 14 Addresses! Officially referred to as enhancing security against quantum threats.

The Bitcoin office of El Salvador announced that it has diversified nearly 6,300 BTC of national reserves across 14 different addresses to “align with best practices” and mitigate potential future threats from quantum computing.

Although analysts generally believe that the actual threat of quantum computing to Bitcoin will take decades to materialize, the country has still taken proactive measures under the leadership of President Nayib Bukele to add multiple layers of insurance for national-level crypto asset security.

Decentralized Reserve: From a Single Address to 14 Wallets

Original state: Previously, El Salvador’s national Bitcoin reserves (6,284 BTC, worth over $682 million) were all stored in one Address.

New arrangement: distributed to 14 new Addresses, with each Address holding no more than 500 BTC.

Official statement: Limiting the amount of coins held by a single address can reduce the potential risk of quantum attacks, especially for addresses that have not been used and only expose the hash public key.

Quantum Threats: Theoretical Risks vs. Actual Timelines

Quantum computing is considered a potential threat to the Bitcoin ECDSA signature mechanism, which could theoretically break private keys and steal assets.

Bernstein analyst’s view: The real threat to Bitcoin may take decades to materialize.

El Salvador’s stance: Even if the threats are still distant, protective measures should be deployed in advance.

Daily Coin Purchase Controversy: Official Statement Inconsistent with IMF Report

Official claims: The Bukele government purchases 1 BTC daily and adds it to the national reserve.

IMF document: The Minister of Finance and the Governor of the Central Bank of El Salvador stated to the International Monetary Fund in July that the public sector will no longer purchase Bitcoin starting from February 2024.

Response situation: Buckler and the Bitcoin office have not directly responded to the IMF report, but continue to post “Daily Coin Purchase” messages on X (formerly Twitter).

Background of El Salvador’s Bitcoin Strategy

Since becoming the first country in the world to recognize Bitcoin as legal tender in 2021, El Salvador has continued to advance its cryptocurrency nationalization strategy:

Fiat dual-track system: Bitcoin and US dollar circulate in parallel.

National-level reserves: Long-term holding of BTC as a strategic asset

Infrastructure: Promoting Bitcoin bonds, mining, and the crypto tourism industry

This decentralized reserve initiative demonstrates that the country is upgrading its asset security framework while also engaging in “long-term holding.”

Follow-up Observation Focus

Quantum security technology: Will anti-quantum signature algorithms (such as Schnorr, Lamport signatures) be introduced in the future?

Coin Purchase Transparency: Is the official daily coin purchase statement consistent with the actual on-chain data?

International Reaction: The IMF and other international organizations’ changing stance on El Salvador’s Bitcoin policy

Conclusion

El Salvador has diversified its national Bitcoin reserves across 14 addresses. Although quantum threats are not yet imminent, this move highlights the country’s proactive approach to the security of crypto assets.

While the world is still watching the nationalization of Bitcoin, El Salvador is taking action to tell the world: not only to hold BTC, but also to ensure its safety for decades to come.