What defines it to be failed, is the people that stop using Chivo Wallet after making use of the few dollars available on signup. The postpone of bonds without any proper time schedule, or the statistical data that is being collected by different universities. The president have taken a decision on behalf of his citizens. There were criticism, hatred, opposition and protests. What finally happened, the country have turned to be the first to adopt bitcoin. Further it have experiencing the bear market which isn't predicted to happen for now. Just on this we can't conclude the decrease in the value of holding as a failure. It is a learning for them to prepare for the worse in all time period to reap profit. Until the holdings are sold for a loss, we can't term this to be a failure.
It was a bad thing to reward users of the Chivo wallet without encouraging their participation on the BTC blockchain. The government should've rolled out rewards at a slow and steady pace to help motivate people to keep using the Chivo wallet. Besides, not many people within the country knows what Bitcoin is or how it works. This was just an early move from El Salvador that's bound to failure within the short term.
Do you believe that the El Salvador government blew its whole wadd merely because it gave a $30 credit to each of it's citizens in the Chivo wallet?
Do you know if they are not going to issue another credit ? similar amount? smaller amount? How do you know that the issuance of one time was a failure in terms of getting some citizen's aware of bitcoin and maybe they can change the next issuance, in the event that they make another issuance, no?
We're going to have to see if adoption for BTC in El Salvador will increase in the future as the market turns bullish.
So you are concluding that adoption is currently not good? Are you concluding that some citizens are not benefiting by using and transmitting in bitcoin, including receiving remittances into El Salvador with low fees and without having to worry about the government being hostile to their bitcoin related activities?
The government already approved Bitcoin as a legal means of payment so the sky's the limit to how far the cryptocurrency will go in terms of mainstream adoption by businesses and individuals alike.
And, I doubt that we have all the data in regards to the various ways that people and businesses are increasingly getting used to bitcoin and also increasingly using it.
So far, El Salvador hasn't sold a single Bitcoin, so it has every chance to win once the market explodes again. Who knows if government's "smart move" turns El Salvador into a developed country within the not-so-distant future? Just my thoughts 
Overall it seems the amount of bitcoin that they bought is really not a whole hell of a lot, relative to the other kinds of holdings that they have.