El Salvador’s Bitcoin Future in Doubt? 2027 Election Rivals Take Aim at Bukele’s Crypto Vision

TL;DR

• ARENA nominated Maytee Iraheta and the FMLN selected Rafael Aguirre, with both opposition candidates criticizing Bukele’s Bitcoin strategy as a fiscal failure.
• Bukele seeks a third term with approval above 94%, while opposition parties lack legislative strength and would likely need broader coalitions to change policy.
• Bitcoin is no longer mandatory legal tender, yet state purchases continue, lifting reserves to about 7,730 BTC despite IMF warnings and market volatility.

El Salvador’s 2027 presidential election is beginning to place President Nayib Bukele’s Bitcoin strategy under direct political pressure. The country’s two principal opposition parties have selected candidates who reject the administration’s crypto policy and describe it as a fiscal failure. ARENA chose former lawmaker Maytee Iraheta, while the FMLN nominated physician and union leader Rafael Aguirre. Bitcoin has moved from national experiment to contested campaign legacy, throughout the country and across global crypto markets, raising an awkward question: could a future government halt the accumulation program that has become inseparable from Bukele’s international economic identity?

Opposition candidates confront Bukele’s Bitcoin legacy

Bukele’s Nuevas Ideas party nominated him this month for a third term, with Vice President Felix Ulloa again joining the ticket. His challengers face a severe institutional imbalance. ARENA controls only two seats in the Legislative Assembly, while the FMLN has held none since 2024, meaning either opposition party would likely require a broader coalition to alter the government’s direction. Bukele enters the contest with overwhelming popularity and legislative leverage. One national poll placed his approval above 94%, while only 2.2% of Salvadorans identified Bitcoin as his greatest failure ahead of the February 2027 vote.

The policy itself has already changed substantially. Following a $1.4 billion agreement with the International Monetary Fund in February 2025, El Salvador removed the requirement that businesses accept Bitcoin, effectively restoring the U.S. dollar as the sole official currency used in everyday commerce. Yet the National Bitcoin Office continued purchasing roughly one BTC each day. Bitcoin is no longer mandatory money, but state accumulation continues anyway. Government holdings reached approximately 7,730 BTC by July 27, up from about 7,700 BTC one month earlier, confirming that the daily buying pledge remains active for now.

That reserve leaves the next administration exposed to market volatility and unresolved fiscal debate. Bitcoin traded near $65,300, roughly half its October 2025 record above $126,000, while the decline erased nearly $300 million from state holdings earlier this year. The IMF has repeatedly warned of fiscal and governance risks and questioned whether the policy improved financial inclusion for unbanked Salvadorans. The election may decide whether the country keeps buying or ends the experiment. Whoever wins in February will govern until 2033, inheriting a reserve whose political meaning now rivals its financial value alone.