Bhutan Sells $66M in Bitcoin on Binance, Sparking Speculation
Bhutan's government transfers $66 million in Bitcoin to Binance, raising questions about its strategy as one of the largest national Bitcoin holders.
The Royal Government of Bhutan recently moved 929 Bitcoin (BTC), worth around $66.16 million, to the crypto exchange Binance, as reported by on-chain data provider Lookonchain via X. The transfer happened in two parts: 100 BTC ($7.1 million) at 9:09 am UTC, followed by 839 BTC ($59 million) at 9:56 am UTC. This marks the first time Bhutan has sent BTC to an exchange since depositing 381 BTC, valued at $24.1 million, to Kraken in July, as confirmed by Arkham, a platform monitoring Bhutan’s crypto holdings since September.
The reason behind this large transfer remains unknown, sparking speculation among crypto enthusiasts. Many see large exchange deposits as a possible indicator of impending sales. With a population of around 727,145, Bhutan’s decision has raised questions about the government's intentions. Bhutan has been mining Bitcoin using its vast hydroelectric resources since 2019, an initiative to transform green energy into digital assets, part of a strategy to diversify national reserves amid shifting global economic conditions. The substantial BTC reserves may serve various purposes, including funding national projects, boosting liquidity, or stabilizing the economy during financial challenges. Popular X user Pledditor commented that Bhutan’s approach seems different from El Salvador's under President Nayib Bukele, who views Bitcoin as a long-term treasury asset.
Pledditor remarked, “As far as I know, we’ve never heard Bhutan align with El Salvador’s stance on Bitcoin. It seems more like they’re treating Bitcoin as a short-term investment than a treasury asset.” Analysts speculate that Bhutan may be preparing for a market shift or seeking liquidity for future projects, while others suggest the government is taking advantage of recent market gains.
The Druk Holding & Investments, Bhutan's state investment arm, manages these holdings. Bhutan’s current reserves reportedly stand at 12,456 BTC, valued around $886 million, making it one of the largest Bitcoin holders among nations. Notably, unlike many countries that acquired BTC through criminal seizures, Bhutan has actively mined its holdings.
Alongside Bitcoin, Bhutan recently transferred 228.8 Ether (ETH), worth roughly $600,000, to a Binance wallet on October 18. The nation’s remaining $1.7 million in Ether is its only other significant crypto holding.
So far, there has been no official statement from Bhutan’s government or Druk Holding & Investments on these transfers. Many in the crypto community are eagerly awaiting further details, with some expecting insights from Prime Minister Tshering Tobgay on the government’s future plans.
