TLDR:
- Bhutan reduced its Bitcoin holdings by 70%, from 13,000 BTC to 3,954 BTC, since October 2024.
- Over $215.7 million in BTC has moved out of Bhutan’s holding addresses in 2026 alone.
- Bhutan’s last Bitcoin mining inflow above $100,000 was recorded more than one year ago.
- Bhutan’s remaining 3,954 BTC is now less than what Strategy typically buys in one week.
Bhutan Bitcoin sell-off data confirms the kingdom has reduced its holdings by roughly 70% over the past 18 months.
Once sitting on approximately 13,000 BTC accumulated through a hydropower-backed mining operation, Bhutan now retains just 3,954 BTC valued at around $280.6 million.
Arkham Intelligence data shows over $215.7 million in BTC has already moved out of Bhutan’s holding addresses in 2026 alone, with no public comment from Druk Holding and Investments.
Steady Outflows and Slowing Mining Signal a Strategic Shift in Bhutan’s Bitcoin Position
Bhutan’s sell-off traces back to October 2024, when the kingdom held roughly 13,000 BTC. Arkham Intelligence data shows a steady, methodical drawdown rather than a single liquidation event.
Over $215.7 million in BTC has left Bhutan’s holding addresses in 2026 alone. A notable portion of these outflows has been routed to unlabeled wallets, while others have been sent to addresses linked to Galaxy Digital and OKX.
That pattern points to direct market sales rather than simple fund repositioning. In one recent transfer, roughly 319.7 BTC, worth $22.68 million, moved to two separate addresses in a single transaction.
Bhutan originally built its Bitcoin reserve through a hydropower-backed domestic mining operation run by Druk Holding and Investments. However, Arkham data shows no mining inflow exceeding $100,000 has been recorded in over a year.
The operation that once converted river energy into Bitcoin appears to have slowed considerably or stopped entirely.
The economics behind this shift are straightforward. Bhutan’s mining operation worked when network difficulty was lower, and Bitcoin traded above $90,000.
At current levels near $71,000, with difficulty at all-time highs and post-halving block rewards cut to 3.125 BTC, margins have compressed sharply. Selling hydropower directly to neighboring India may now generate more predictable revenue than mining Bitcoin.
Bhutan’s Retreat Stands Out as Institutional Buyers Continue Accumulating Bitcoin
Bhutan’s sell-off runs directly against the broader trend among institutional and sovereign-level holders. Strategy purchased 4,871 BTC for $330 million in a single weekend, bringing its total to 766,970 BTC.
U.S. spot Bitcoin ETFs absorbed approximately 50,000 BTC in March alone, reflecting sustained institutional demand.
The contrast sharpens further when other market participants are considered. The Ethereum Foundation staked $93 million in ether rather than selling during the same period.
Bhutan currently stands as the only sovereign-level holder visibly reducing its Bitcoin position while others continue to accumulate. Bhutan’s remaining 3,954 BTC is now smaller than what Strategy acquires in a typical week.
The kingdom once mined 13,000 BTC directly from its own rivers and mountains. Druk Holding and Investments has not responded to multiple media inquiries, leaving the future of both its reserve and mining operations publicly unanswered.
The post Bhutan Kingdom Quietly Unwinds 70% of Its Bitcoin Reserve in 18 Months appeared first on Blockonomi.
Source: https://blockonomi.com/bhutan-kingdom-quietly-unwinds-70-of-its-bitcoin-reserve-in-18-months/
