The Royal Government of Bhutan has liquidated nearly $120 million worth of Bitcoin since the beginning of the year.
The move accelerates a divestment strategy that has reduced the Himalayan kingdom’s digital reserves by more than 60% from their peak.
Why is Bhutan aggressively selling its Bitcoin holdings?
On March 28, blockchain analytics platform Arkham Intelligence I mentioned The last transaction occurred on March 27, when the government transferred 123.7 bitcoins — worth approximately $8.5 million — to a previously unused address.
The transfer followed a much larger divestment operation just 48 hours earlier, which included Bhutan 519.7 Bitcoins were offloaded for approximately $36.75 million.
Bhutan appears to use over-the-counter desks and market makers, including Singapore-based QCP Capital, to execute these trades with minimal impact on the exchange’s public order books.
The sell-off in 2026 represents a shift in pace For the country’s sovereign wealth fund, Druk Holding and Investments. Although Bhutan sales were once sporadic, recent activity indicates programmatic liquidation.
Since January 1, the government has moved $158.57 million from its core wallets while recovering only $38.84 million.
“Bhutan is selling portions of its bitcoin in segments worth between US$5 million and $10 million, and sold approximately 3,500 bitcoins in mid-late September 2025. The volume of offshore transfers in Bhutan has also begun to increase in recent weeks, with the country appearing to have reduced its holdings by about 1,700 bitcoins since the beginning of the year,” Arkham Intelligence reported.
Unlike most countries that hold Bitcoin through criminal asset confiscation, Bhutan built its bunker through state-subsidized mining The program was launched in 2019.
By harnessing surplus hydroelectric power from its glaciers, the country has amassed up to 13,000 bitcoins. However, continued selling over the past two years has whittled those holdings down to roughly 4,300 bitcoins, currently valued at around $300 million.
Analysts point out that the proceeds are being directed towards major national infrastructure projects, specifically the infrastructure project The mental city of Gelephu-Planned special administrative area.
The government previously pledged to allocate 10,000 bitcoins to the project, although current liquidation levels suggest the fund may draw from those reserves to fund early-stage construction.
Despite the sell-off, Bhutan remains the seventh largest country in the world Sovereign owner of Bitcoinafter only the United States, China, the United Kingdom, El Salvador, and the United Arab Emirates.
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