Bhutan has moved more than $22 million worth of Bitcoin from its national reserves as the broader crypto market remains under pressure and Bitcoin mining becomes increasingly challenging. The transactions come at a time when falling prices and rising production costs are reshaping the strategies of state-level and institutional holders.
Bhutan Sends Bitcoin to Market Maker
On-chain data shows that Bhutan transferred a combined 284.8 Bitcoin in two batches over the past week. About 184 BTC, valued near $14 million, was moved midweek, following an earlier transfer of roughly 100.8 BTC worth $8.3 million. The funds were sent to a crypto market maker, a move that often precedes asset liquidation to access market liquidity.
National Bitcoin Holdings Continue to Decline
Bhutan’s Bitcoin reserves have dropped significantly over the past year. From a peak of more than 13,000 BTC in October 2024, holdings have declined to around 5,700 BTC. This reduction has pushed the country down to seventh place among nation-state Bitcoin holders, behind several major governments and sovereign entities.
Arkham noted that;
The country’s Bitcoin accumulation was built through state-backed mining operations launched in 2019, largely powered by hydroelectric energy. However, post-halving conditions have sharply increased mining costs, with estimates suggesting the expense to produce one Bitcoin has roughly doubled since 2024. As a result, Bhutan’s annual Bitcoin output has fallen well below 2023 levels.
These developments coincide with a broader market downturn. Bitcoin is now more than 40% below its all-time high, as investors shift away from risk assets amid macroeconomic uncertainty, policy concerns, and ongoing volatility across global markets.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.