Bhutan has continued to reduce its Bitcoin holdings, with blockchain data showing the country steadily drawing down the reserves it accumulated through years of state-backed mining.
According to data from Arkham Intelligence, Bhutan transferred another 175 BTC—worth about $11.85 million—late Monday. The coins were sent to the same bc1q wallet address that previously received 184 BTC valued at roughly $14.09 million in February, indicating a consistent counterparty possibly involved in over-the-counter trading or treasury management.
The activity is tied to Druk Holding and Investments (DHI), the government’s state-owned investment firm that oversees Bhutan’s bitcoin mining operations.
February’s movements were broader than a single transfer. Arkham data shows four separate outflows during the month, including the 184 BTC transaction as well as two deposits totaling around 200 BTC—worth roughly $15 million—sent to a merchant deposit address associated with QCP Capital. Another transfer involved about $1.5 million in Tether being sent to a hot wallet at Binance.
Those transactions added up to approximately $30.7 million in February. With Monday’s $11.85 million transfer included, Bhutan’s crypto-related outflows in 2026 have reached roughly $42.5 million.
The deposits linked to QCP Capital are particularly notable. Sending bitcoin directly to a trading firm’s deposit address more than once in a month suggests activity beyond simple treasury reshuffling, pointing instead toward OTC transactions or structured liquidity management.
Looking at the bigger picture, Bhutan’s bitcoin reserves have declined significantly from their peak. The country’s holdings reached roughly 13,000 BTC in late 2024 after several years of accumulation through mining powered by surplus hydropower. Since October 2024, however, the balance has steadily fallen.
The stash has dropped from about 13,000 BTC to just under 5,400 BTC, representing a reduction of around 58%. The decline in holdings has coincided with a drop in bitcoin’s market price—from roughly $119,000 at its peak to about $69,000 currently.
At its highest point, Bhutan’s bitcoin position was likely valued at more than $1.5 billion. Today, the remaining reserves are worth around $374 million.
Even as it trims its holdings, Bhutan has continued to integrate digital assets into its long-term plans. In December, the government introduced a Bitcoin Development Pledge committing up to 10,000 BTC toward the development of Gelephu Mindfulness City, a special economic zone intended to incorporate digital assets into its financial infrastructure.
Because Bhutan mined its bitcoin using excess hydropower, its cost basis is effectively minimal. Unlike corporate treasuries such as Strategy that purchased bitcoin on the open market, Bhutan faces little pressure from price levels when deciding to sell, meaning the transactions likely represent pure profit.
Blockchain data shows the broader trajectory of Bhutan’s bitcoin holdings: a gradual buildup beginning near zero in early 2021, steady accumulation through the crypto downturn, a rise to about 13,000 BTC by late 2024, and then a sharp drawdown that has continued into 2026.
The pattern of similar-sized transfers to the same counterparties suggests a structured treasury strategy rather than reactive selling tied to short-term market volatility.
Druk Holding and Investments did not immediately respond to a request for comment from CoinDesk during Asian morning hours.
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