Bhutan Sells Bitcoin After Generating $765M Profit
The Royal Government of Bhutan is now turning its long-term Bitcoin mining strategy into real profits after years of quietly building up its holdings. The country has earned more than $765 million from mining since 2019, making it one of the most successful national-level crypto ventures in the world. For a nation with a relatively small economy, the returns have been magnificent.
Now, Bhutan has started selling parts of its Bitcoin holdings in chunks of around $50 million. With the Bitcoin price recently plummeting and mining becoming more difficult, the government appears to be gradually securing its gains while managing its crypto reserves.
From Mining to Millions: Bhutan Sells Bitcoin
According to the latest reports, the Royal Government of Bhutan has sold more than $22 million worth of Bitcoin. These coins were accumulated via the country’s BTC mining activities.
Arkham Intelligence data shows that Bhutan transferred 184 BTC, worth about $14 million, on Wednesday and another 100.8 BTC, valued at $8.3 million, last Friday. These funds were sent to wallets linked to QCP Capital, a prominent Singapore-based crypto trading firm.
Such transfers usually occur before assets are sold in the open market. According to reports, the crypto trading platform received Bitcoin funds directly from Bhutan’s reserves, indicating that the sale has likely already occurred.
It is worth noting that Bhutan’s move comes amid the pioneer cryptocurrency’s sustained negative trend. Currently, as per CoinMarketCap data, BTC is valued at $71,563, its multi-month lowest point.
BTC Sales to Support Bhutan’s Economic City Project
Reportedly, the country’s reason for this Bitcoin sale lies beyond making profits. Apart from profit-taking, Bhutan plans to link the fund to a broader national plan. Thus, it indicates that the country is not just selling to lock in gains, but also to support long-term development projects.
In December, the Bhutanese government announced its plan to use around 10,000 BTC from its reserves, worth around $420 million at current prices, to help fund the Gelephu Mindfulness City project. This project is designed to become a major economic hub in southern Bhutan. The economic project is described by the King of Bhutan, Jigme Kheshar, as a project for “our people, our youth, and our nation.”
While announcing its strategic Bitcoin plans, Bhutan also unveiled its deeper crypto plan. Expanding its vision beyond BTC, Bhutan announced an Ethereum staking initiative, as reported by CoinNewsSpan.
Explaining Bhutan’s Bitcoin Mining Journey
Bhutan has been mining Bitcoin since 2019 and has earned more than $765 million from the activity so far. While estimates suggest the country spent around $120 million on electricity, the real cost may be lower because much of the mining is powered by hydropower. The biggest year for production was 2003, when Bhutan mined around 8,200 BTC, helping its total reserves reach a peak of about 13,000 BTC.
Considering yearly progress, the country mined roughly 2,500 BTC in 2021, around 1,800 BTC in 2022, and then saw a sharp jump in 2023. In 2024, production slowed to about 3,000 BTC. Even with recent sales, Bhutan still holds a strong position in the crypto space.
As of now, the country holds a total of around 5,700 BTC, valued at more than $403 million. This places Bhutan as the seventh-largest country to hold BTC. It lies behind global powers like the US, China, the UK, Ukraine, El Salvador, and the UAE.
