Key Takeaways
- The Himalayan kingdom has liquidated its Bitcoin reserves from approximately 13,000 BTC down to 3,774 BTC beginning in October 2024
- State-controlled wallets have transferred more than $233 million in Bitcoin throughout 2026
- No significant mining deposits exceeding $100,000 have been recorded in Bhutan’s wallets for over twelve months
- Druk Holding and Investments, managing Bhutan’s sovereign investment portfolio, has remained silent on the matter
- The small nation stands alone among sovereign Bitcoin holders in actively liquidating positions while others accumulate
The government of Bhutan has liquidated approximately 70% of its Bitcoin reserves from peak holdings recorded in October 2024. At that time, the nation possessed nearly 13,000 BTC. Current data indicates remaining holdings of roughly 3,774 BTC, valued at approximately $272.5 million.
This week, Bhutan’s Royal Government transferred an additional 250 BTC—approximately $18 million—into a freshly generated wallet address, based on blockchain intelligence from Arkham Intelligence. This transaction came after a Thursday transfer of around 319.7 BTC valued at $22.68 million.
Throughout 2026, Bhutan has relocated over $233 million worth of Bitcoin from its verified treasury addresses. Approximately $162.6 million moved to unidentified wallet addresses, while remaining funds flowed to addresses historically associated with Galaxy Digital and OKX exchange transactions.
The nation’s Bitcoin reserves were built through a state-sponsored mining initiative operated by Druk Holding and Investments, Bhutan’s sovereign investment vehicle. The program leveraged abundant renewable hydroelectric power to mine cryptocurrency independently of conventional banking systems.
Evidence Points to Dormant Mining Operations
Blockchain analysis from Arkham reveals that Bhutan’s identified wallet addresses haven’t received Bitcoin deposits larger than $100,000 in more than twelve months. This data strongly indicates the mining program has either significantly scaled back or ceased operations completely.
Multiple media organizations have attempted to contact Druk Holding and Investments over the past week through email and telephone without receiving responses.
The fundamental economics of Bitcoin mining have transformed dramatically. During Bhutan’s peak mining period, Bitcoin valuations exceeded $90,000 while network mining difficulty remained comparatively lower. Today, Bitcoin trades near $72,000 amid record-high mining difficulty levels.
The April 2024 halving event reduced block rewards to just 3.125 BTC. Combined, these market forces have severely squeezed profit margins for smaller-scale mining facilities.
An alternative explanation suggests that exporting hydroelectric power to India—Bhutan’s primary electricity customer—may now yield superior returns compared to operating cryptocurrency mining infrastructure.
Contrast With Accumulating Institutions
Bhutan’s divestment strategy sharply contrasts with behavior from 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. spot Bitcoin exchange-traded funds accumulated approximately 50,000 BTC during March exclusively. Meanwhile, the Ethereum Foundation staked $93 million in Ether within a single day rather than liquidating holdings.
Bhutan currently represents the only nation-state actively and visibly reducing its Bitcoin position.
At publication time, Bitcoin traded above $72,000, representing a 24-hour gain exceeding 1.3%. The cryptocurrency remains roughly 43% beneath its record peak of approximately $126,000 established in October 2025.
Bhutan’s remaining 3,774 BTC reserve now falls below the typical weekly acquisition volume of Strategy.
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