Bhutan Ramps Up Bitcoin Sales

Bhutan is selling off its Bitcoin reserves at a much faster rate, potentially impacting its ability to fund the ambitious Gelephu Mindfulness City project. In the last two weeks alone, the nation moved about $72 million in Bitcoin. This surge in sales includes a transfer of 519.707 BTC, worth $36.75 million, to an external address just on Wednesday.

Patterns in Bitcoin Transactions

The size and frequency of Bitcoin transfers have changed significantly. Earlier this year, in January and February, transactions were typically between $5 million and $15 million. March, however, has seen bigger and more frequent sales. Singapore-based trading firm QCP Capital has been a key buyer, receiving about $16.6 million across three deals this year. This ongoing relationship points to a planned selling strategy rather than random sales.

Gelephu Project Funding Faces Obstacles

Bhutan's Bitcoin reserves were built up through state-backed hydroelectric mining, giving the nation a very low cost basis. Holdings reached a peak of nearly 13,000 BTC in late 2024. Today, Bhutan holds 4,453 BTC, meaning its reserves have dropped by 66% from their high. The government's December pledge to use up to 10,000 BTC for the Gelephu project—valued around $860 million then—now seems unachievable unless the country significantly increases its holdings again. Druk Holding & Investments, the government's investment company, was contacted for comment.