Bhutan Emerges as the Fourth Largest Bitcoin Holder with 13,029 BTC: Here's Why It Matters

The Royal Government of Bhutan holds 13,029 Bitcoin (BTC), valued at approximately $755 million. This substantial stash is linked to the country's Bitcoin mining operations, managed by the state-owned Druk Holding & Investments.

Bhutan's Position in the Crypto Landscape

According to data from CoinGecko, governments collectively held 2.2% of Bitcoin’s supply as of August, with the US leading at 213,246 BTC, followed by China with 190,000 BTC. Bhutan ranks fourth, surpassing El Salvador's 5,800 BTC but trailing behind the UK's 61,000 BTC. Notably, Bhutan's holdings are attributed to its mining efforts rather than government seizures.

A Brief History of Bhutan's Bitcoin Mining

Bhutan has been engaged in Bitcoin mining for several years, initially maintaining a low profile. In 2023, the country expanded its mining operations across four hydroelectric-powered sites. On-chain data reveals that government wallets began accumulating BTC as early as February 2021.

In recent developments, Bitdeer Technologies Group partnered with Druk Holding to significantly increase Bhutan's mining capacity, aiming for a boost to 500 megawatts by mid-2025. This expansion is expected to enhance Bhutan's role in the global Bitcoin mining ecosystem, especially as demand for Bitcoin rises.

The Future of Bhutan's Bitcoin Mining

The collaboration with Bitdeer signifies a strategic move to leverage Bhutan's renewable energy resources for cryptocurrency mining. As the landscape of Bitcoin mining evolves, Bhutan's proactive approach could position it as a key player in the sector, attracting further investments and innovations in the field.

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.