El Salvador's Central Bank reported that crypto remittances totaled $35.4 million during the first half of 2026, representing just 0.7% of the country's $5.06 billion total remittance volume. The figures show a 39.1% increase from the $25.4 million recorded in H1 2025, yet digital currency channels remain marginal despite five years since the Bitcoin Law passed in 2021. The low adoption persists as the state-sponsored Chivo wallet winds down operations under an IMF credit deal, while traditional banks and remittance companies continue to process over 84% of all funds sent to the country.
Central Bank Data Shows $35.4M in Crypto Remittances for H1 2026
Numbers issued by the Central Bank of El Salvador revealed that digital currency channels handled $35.4 million of external remittances during the first half of 2026. Total remittances for the period rose from $4.84 billion to $5.06 billion, an increase of $219.2 million or 4.5%. Crypto remittance volumes increased 39.1% compared to H1 2025, when these registered $25.4 million. Cash remittances, which are handed over personally when senders travel from another country to El Salvador to visit their relatives, rose to 3.8% of total volume.
Banks and Remittance Companies Process 84% of Total Volume
Remittance companies and banks constitute the preferred channels for Salvadorans to send money home, intermediating over 84% of the volume received from abroad. Salvadorans abroad still rely on traditional remittance channels to send money five years after El Salvador passed the Bitcoin Law in 2021. The Salvadoran government promoted crypto adoption for remittances, allowing citizens to save money and achieve faster settlement times using digital assets.
Chivo Wallet Phase-Out Ends $400M Fee Savings Goal
The state-sponsored Chivo wallet is winding down operations as part of a credit deal with the International Monetary Fund (IMF). The government promoted the use of the Chivo wallet to receive remittances and payments, sidestepping incumbents such as Western Union. Early reports estimated that pivoting to crypto could save Salvadorans $400 million each year in transaction and middlemen fees. Five years since bitcoin was declared legal tender, digital assets account for 0.7% of all volumes received by Salvadorans.
FAQ
What percentage of El Salvador's remittances used crypto in H1 2026?
Crypto remittances accounted for 0.7% of El Salvador's total remittance volume in the first half of 2026, totaling $35.4 million out of $5.06 billion.
How much did crypto remittances grow compared to H1 2025?
Crypto remittances increased 39.1% from $25.4 million in H1 2025 to $35.4 million in H1 2026, according to Central Bank of El Salvador data.
What happened to El Salvador's Chivo wallet?
The state-sponsored Chivo wallet is winding down operations as part of a credit deal with the International Monetary Fund (IMF), ending the government's goal of saving Salvadorans $400 million annually in remittance fees.
