Key Takeaways
- The Himalayan kingdom has slashed its Bitcoin reserves from approximately 13,000 BTC to roughly 3,774 BTC since October 2024
- Sovereign wallets have transferred more than $233 million in Bitcoin during 2026
- No significant mining deposits exceeding $100,000 have been recorded in Bhutan’s addresses for over twelve months
- Druk Holding and Investments, managing the nation’s sovereign assets, has remained silent on the matter
- The kingdom represents the sole government-level entity actively liquidating Bitcoin while institutional buyers continue accumulating
The government of Bhutan has liquidated approximately 70% of its cryptocurrency reserves since reaching peak holdings in October 2024, when the nation controlled nearly 13,000 BTC. Current reserves stand at approximately 3,774 BTC, valued at roughly $272.5 million.
According to blockchain intelligence from Arkham Intelligence, the Royal Government of Bhutan transferred an additional 250 BTC—approximately $18 million—to a freshly generated wallet this week. This transaction followed a Thursday movement of roughly 319.7 BTC valued at $22.68 million.
Cumulative Bitcoin movements from Bhutan’s documented custody addresses have exceeded $233 million throughout 2026. Approximately $162.6 million flowed to unidentified wallet addresses, while remaining funds were directed to addresses associated with previous liquidations through Galaxy Digital and OKX.
The nation’s Bitcoin reserves were built through a hydroelectric-powered mining initiative operated by Druk Holding and Investments, the sovereign investment vehicle. This program leveraged abundant renewable energy resources to mine cryptocurrency independently of conventional banking systems.
Evidence Points to Mining Shutdown
Blockchain records from Arkham reveal zero incoming Bitcoin transfers above $100,000 to Bhutan’s identified addresses for more than twelve consecutive months. This pattern strongly indicates the mining program has either significantly scaled back or ceased operations completely.
Druk Holding and Investments has declined to address numerous inquiries from journalists, failing to respond to email correspondence and phone calls conducted throughout the previous week.
The fundamental economics of Bitcoin mining have transformed dramatically. During Bhutan’s peak operational period, Bitcoin commanded prices exceeding $90,000 while network difficulty remained comparatively modest. Today, Bitcoin hovers around $72,000 as mining difficulty reaches unprecedented levels.
The halving event reduced the block subsidy to just 3.125 BTC. Combined, these market forces have severely constrained profitability for smaller-scale mining enterprises.
An alternative explanation suggests that exporting surplus electricity to India’s power grid may now yield superior returns compared to operating cryptocurrency mining infrastructure.
Institutional Buyers Continue Accumulating
Bhutan’s divestment strategy contrasts sharply with behavior 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.-listed spot Bitcoin exchange-traded funds absorbed approximately 50,000 BTC throughout March exclusively. The Ethereum Foundation committed $93 million worth of Ether to staking protocols in a single session rather than liquidating holdings.
Bhutan currently stands alone as the only nation-state actively reducing its Bitcoin position.
Bitcoin exchanged hands above $72,000 at press time, representing a 1.3% gain across the preceding 24-hour period. The cryptocurrency remains approximately 43% beneath its historical peak of roughly $126,000, established in October 2025.
Bhutan’s remaining 3,774 BTC inventory now represents less than Strategy’s typical weekly acquisition volume.
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