According to recent data from Arkham, the small South Asian nation of Bhutan is now the fourth largest government holder of Bitcoin. Bhutan’s Bitcoin holdings total 13,011 BTC, valued at approximately $780.49 million. This large quantity of Bitcoin is not from police seizures of criminals’ assets as in many other nations but through the country’s direct mining of the cryptocurrency.
This impressive Bitcoin portfolio belongs to the Kingdom of Bhutan’s investment arm, Druk Holdings. Since 2023, Bhutan has decided to expand its Bitcoin mining activities and has significantly increased its cryptocurrency reserves. While most countries obtain Bitcoins through seizures or purchases, Bhutan gets them from mining.
Bhutan Uses Bitcoin Mining to Build $750 Million Reserve
Arkham is the first to announce and provide identification of Bhutan’s Bitcoin addresses. This reveals a unique aspect of cryptocurrency analysis in Bhutan, particularly mining instead of more conventional means. The country has invested in building several mining facilities; the largest one is at the location of the former Education City. On-chain mining data has been used to independently analyze and validate the mining sites and their timeline in Bhutan; therefore, it is accurate.
Bitcoin mining in Bhutan can, therefore, be seen as an attempt by the country to harness its resources and energy for the production of the cryptocurrency. This approach has enabled Bhutan to accumulate a large pile of Bitcoin, making it unique among governments in the field.
Lastly, it is important to mention that Bhutan is an example of a government that established large Bitcoin reserves through mining. Now, with more than $750 million in Bitcoin officially declared on Arkham’s platform, Bhutan is expanding its place in the world of cryptocurrencies and demonstrating a unique approach to integrating them into its financial system.
