Tim Draper: If Bitcoin rises to $100,000, El Salvador's holdings will earn more than the IMF loan

Odaily Planet Daily Report: Billionaire, American venture capitalist Tim Draper said this week that if Bitcoin rises to $100,000, it could allow El Salvador to repay its loan from the International Monetary Fund (IMF) "and never have to negotiate with them again". It is reported that El Salvador owes the International Monetary Fund about $80 million, and El Salvador holds 5,913.76 BTC. Therefore, if Bitcoin rises to $100,000, El Salvador will receive $189 million in profits from its Bitcoin holdings, exceeding its IMF loan. However, this calculation is based on two assumptions: 1) Assuming the country's Bitcoin is not collateralized, i.e. not yet used for other purposes or pledged as collateral for other loans or contractual obligations; 2) Assuming non-IMF debts, which amount to billions of dollars, are ignored, i.e. the country will be able to directly remit the profits from its revalued Bitcoin holdings to the IMF without first repaying higher-ranking creditors. Since both of these assumptions are difficult to achieve, El Salvador may need Bitcoin to rise far beyond $100,000 to repay its IMF debt and all of El Salvador's other lenders.