Bhutan Sells Over $110M in Bitcoin: A 65% Reduction in Sovereign Holdings

In 2026, Bhutan has sold more than $110 million worth of Bitcoin, reducing its sovereign holdings by approximately 65% from their highest point. This shift indicates a transition from accumulating Bitcoin through mining to a steady liquidation process.

Key Takeaways

Bhutan's state investment arm has sold over $110 million in Bitcoin since the beginning of 2026.
The country's Bitcoin holdings have decreased by about 65% from their peak, now sitting at approximately 5,400 BTC.
Recent sales, particularly on March 17 and 18, indicate a focused liquidation strategy rather than a response to market pressures.
Bhutan has not reported inflows exceeding $100,000 in Bitcoin for over a year, suggesting halted or reduced mining activities.

Bhutan sovereign wealth fund sells large Bitcoin holdings

Main Content

The Kingdom of Bhutan has emerged as a significant participant in the world of Bitcoin for 2026, with its sovereign wealth fund, Druk Holding & Investments, offloading more than $110 million in BTC. This systematic selling has reduced Bhutan’s Bitcoin holdings by 65% from their peak, raising questions about the future of this unexpected success in the crypto sphere.

The largest transaction took place between March 17 and 18, when Bhutan’s state investment arm transferred 973 BTC, valued at around $72.3 million, across various addresses. Notably, this transaction was made to QCP Capital, an institutional trading firm based in Singapore, suggesting that Bhutan is employing a strategy to minimize market impact rather than merely dumping assets on open exchanges. Part of these assets was also sent to Binance's hot wallets.

Bhutan's Bitcoin journey started in 2019 when the nation began mining BTC using excess hydroelectric power generated from its Himalayan rivers. This low-cost energy source allowed for profitable Bitcoin mining even when prices were relatively low. At its peak, Bhutan held about 13,000 BTC, which was worth over $1.4 billion, accounting for more than 40% of the country’s GDP at that time. However, those holdings have dwindled to around 5,400 BTC, currently valued at approximately $374 million.

An important note from Arkham Intelligence, a leading on-chain analytics company, highlights that Bhutan has not recorded any Bitcoin inflow surpassing $100,000 for more than a year. This strongly suggests a halt or significant reduction in its mining operations, moving from a strategy of accumulation towards one focused solely on liquidation. While the exact reasons remain officially unconfirmed, analysts have linked this shift to decreasing mining profitability following the halving event in April 2024, as well as rising operational costs and increased demands on the country’s hydropower resources.

Bhutan has been methodical in its selling approach, usually making transactions worth between $5 million and $10 million, with larger sales occurring under favorable market conditions. The $72.3 million transaction this week stands out as unusually large, indicating either a hastened liquidation timetable or a strategic decision to capitalize on prices near the $71,000 mark prior to potential market declines.

The ongoing sovereign-scale selling at these levels presents a significant challenge for the broader cryptocurrency market. Unlike sales from retail or institutional funds, sovereign liquidations tend to be insensitive to price fluctuations and are recurrent, which can continually create obstacles for any recovery in Bitcoin's price. As Bitcoin navigates a delicate macroeconomic landscape—with heightened fear sentiment and recent reversals in ETF flows—Bhutan's consistent selling represents yet another structural factor that market bulls must contend with as they strive for new highs.