Bhutan Is Offloading Millions in Bitcoin Every Week — Here’s Why It Matters

TLDR

• Bhutan transferred 519.7 BTC worth $36.75 million on Wednesday
• Total Bitcoin outflows from Bhutan in 2026 now top $152 million
• Holdings have dropped 66% from a peak of ~13,000 BTC to 4,453 BTC
• Most transfers go to Singapore-based QCP Capital via OTC arrangements
• Bhutan’s pledge of 10,000 BTC for Gelephu Mindfulness City is now mathematically unfulfillable

Bhutan’s government has been steadily selling its Bitcoin reserves throughout 2026, and the pace is picking up. The latest move came Wednesday, when 519.7 BTC worth $36.75 million was transferred to an external address, according to Arkham Intelligence data.

Total Bitcoin outflows from Bhutan in 2026 have now crossed $152 million.

The Royal Government built its Bitcoin holdings through state-backed hydroelectric mining. Because the energy was surplus power, the cost to mine was effectively zero. Every coin sold is pure profit.

Bhutan’s reserves peaked at around 13,000 BTC in late 2024. Since then, the government has been steadily moving coins out. Holdings now sit at 4,453 BTC, a 66% drop from that peak.

The selling started slowly. In January and February, transfers were in the $5 million to $15 million range. In March, the size jumped sharply to $35 million to $45 million per transaction.

Last week was the busiest period on record for Bhutan’s Bitcoin activity. A cluster of transfers totaled roughly $72 million in a single week. The largest single move was 595.8 BTC worth $44.44 million.

Bhutan’s OTC Selling Pattern

Singapore-based trading firm QCP Capital has received three separate transfers from Bhutan totaling around $16.6 million this year. The repeated transfers to the same counterparty suggest a structured over-the-counter selling arrangement.

OTC sales allow large holders to sell without directly hitting exchange order books, which reduces price impact. Bhutan appears to be breaking up its sales into chunks for this reason.

Bitcoin’s price has ranged between $65,000 and $75,000 in March, down from highs near $119,000. The portfolio value at peak was close to $1.88 billion. It now stands at $315 million.

On-chain data shows little to no new Bitcoin coming in from mining recently. This suggests Bhutan may have scaled back or paused mining operations following the most recent halving.

The Gelephu Pledge Problem

In December, Bhutan announced a Bitcoin Development Pledge committing up to 10,000 BTC to fund the Gelephu Mindfulness City project. At the time, that was worth roughly $860 million.

The government now holds fewer than 4,500 BTC. To fulfill the original pledge, Bhutan would need to reverse its entire drawdown.

The most recent transfer of 519.7 BTC on Wednesday marks the continuation of what has become an accelerating pattern of sovereign Bitcoin sales in 2026.

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