Key Takeaways
- The Himalayan nation has liquidated its Bitcoin position from approximately 13,000 BTC down to 3,774 BTC since October 2024
- State-controlled wallets have transferred more than $233 million in Bitcoin during 2026
- Mining revenue exceeding $100,000 has not been recorded in Bhutan’s wallets for over twelve months
- Druk Holding and Investments, managing Bhutan’s sovereign holdings, has remained silent on the liquidation
- The kingdom stands alone among nation-state Bitcoin holders in actively divesting while competitors accumulate
The Kingdom of Bhutan has liquidated approximately 70% of its Bitcoin reserves from peak holdings recorded in October 2024, when the nation controlled nearly 13,000 BTC. Current wallet balances show roughly 3,774 BTC remaining, valued at approximately $272.5 million at present market rates.
Blockchain intelligence platform Arkham Intelligence tracked the Royal Government of Bhutan transferring an additional 250 BTC—valued near $18 million—to a freshly generated wallet address during the current week. This transaction followed a Thursday movement of approximately 319.7 BTC worth $22.68 million.
Cumulative Bitcoin outflows from Bhutan’s identified holding addresses have exceeded $233 million throughout 2026. Approximately $162.6 million moved to unidentified wallet addresses, while remaining funds flowed to addresses associated with previous transactions through Galaxy Digital and OKX exchanges.
Bhutan’s Bitcoin reserves were built through a hydroelectric-powered mining initiative operated by Druk Holding and Investments, the state-controlled sovereign investment vehicle. The program leveraged inexpensive renewable hydropower to mine cryptocurrency independently of conventional banking systems.
Evidence Points to Mining Shutdown
Blockchain analytics from Arkham reveal zero Bitcoin deposits surpassing $100,000 entering Bhutan’s tracked addresses for more than twelve consecutive months. This pattern strongly indicates the mining program has either significantly decreased operations or ceased functioning altogether.
Druk Holding and Investments has declined to address numerous inquiry attempts from news organizations, with emails and telephone contacts over the recent week going unanswered.
The fundamental Bitcoin mining business model has transformed considerably. During Bhutan’s most productive mining period, Bitcoin commanded prices above $90,000 while network mining difficulty remained comparatively moderate. Bitcoin currently trades near $72,000, with mining difficulty reaching unprecedented peaks.
The halving event reduced block rewards to just 3.125 BTC. Combined, these market dynamics have severely constrained profitability margins for smaller-scale mining enterprises.
Another plausible explanation involves comparative revenue analysis: selling hydroelectric power directly to India’s energy market may now yield superior returns compared to powering cryptocurrency mining infrastructure.
Contrasting Behavior From Other Major Holders
Bhutan’s aggressive liquidation represents a stark departure from behavioral patterns observed among other significant Bitcoin holders. Strategy acquired 4,871 BTC for $330 million during the previous weekend, expanding total reserves to 766,970 BTC.
U.S.-based spot Bitcoin exchange-traded funds accumulated approximately 50,000 BTC throughout March exclusively. The Ethereum Foundation committed $93 million worth of Ether to staking contracts in one day instead of liquidating.
Bhutan presently stands as the sole sovereign government entity openly reducing its Bitcoin holdings.
Bitcoin exchanged hands above $72,000 during current trading sessions, representing a gain exceeding 1.3% across the preceding 24-hour period. The cryptocurrency remains approximately 43% beneath its peak valuation of roughly $126,000, established in October 2025.
Bhutan’s remaining 3,774 BTC position now represents less than Strategy’s typical single-week acquisition volume.
