Wedged between mountain peaks, Bhutan—a country known worldwide for measuring progress through “Gross National Happiness” rather than Gross Domestic Product—is now grappling with the commercial realities of cryptocurrency. The nation’s recent decision to unload approximately $22 million worth of Bitcoin signals a dramatic turning point in how it views its mining venture.
Bhutan transferred 184 Bitcoin valued at roughly $14 million from its treasury on Wednesday. Just four days earlier, another transfer of 100.8 Bitcoin worth $8.3 million took place. Blockchain intelligence platform Arkham tracked both movements to QCP Capital, a digital asset market maker. When governments send holdings to market makers, it typically means they’re preparing to liquidate those assets.
The nation launched its Bitcoin mining program back in 2019 and managed to accumulate approximately $765 million in digital assets. However, the landscape has changed. Production cost for mining one Bitcoin has almost doubled since the halving occurred in 2024.
Your completely free resource hub designed to boost your knowledge of cryptocurrencies
The impact shows clearly in the balance sheet. The country’s Bitcoin holdings fell from 13,295 Bitcoin in October 2024 to 5,700 Bitcoin right now. This decline has dropped Bhutan from a very strong position to seventh among the world governments that have Bitcoin, just behind the United States, China, Great Britain, Ukraine, El Salvador, and the UAE.
No Panic But Strategic Management
Historical data indicate that Bhutan follows a methodical strategy rather than rushing to dump holdings. The government generally sells Bitcoin in chunks, and this current transaction matches that established pattern perfectly.
It is not surprising that Bhutan is selling Bitcoins in the context of the market happenings. Bitcoin has seen major losses, going down by 42.8 percent from its October high of $126,080 to about $72,000. Experts say the situation may worsen due to concerns about the global political environment and tariff discussions. Investors are already returning to traditional assets like precious metals.
