Bhutan Moves $8.1M in Bitcoin as Sell-Off Continues

Bhutan has quietly offloaded another slice of its Bitcoin holdings, moving 100 BTC worth $8.1 million, extending a steady sovereign sell-off that analysts say is driven by a treasury management strategy rather than market pessimism.

The transfers are part of a selling trend that has accelerated last year and into 2026.

“At their current rate of selling, they will run out of BTC before the end of September,” blockchain analytics firm Arkham Intelligence tweeted.

Bhutan has sold roughly $230.39 million worth of Bitcoin since the start of the year, Arkham said, and continues to offload around $50 million per month.

The country now holds about $252 million in Bitcoin, down sharply from nearly 13,000 BTC in late 2024 to roughly 3,100 BTC today, according to onchain data.

Decrypt has reached out to Druk Holding Investments and Gelephu Mindfulness City for comment.

Lacie Zhang, research analyst at Bitget Wallet, told Decrypt the transfers reflect “an active sovereign treasury strategy rather than a bearish signal.”

Unlike most sovereign Bitcoin holdings, often derived from seizures, the Himalayan kingdom built its stash through state-backed mining launched in 2019 using surplus hydroelectric power.

“The key point is that these sales are being used to monetize gains generated through state-backed Bitcoin mining powered by hydropower, helping fund national development and diversify reserves while maintaining long-term exposure to the asset,” Zhang said.

Zhang noted the approach signals an evolution in how sovereign holders think about Bitcoin, not as digital gold to be vaulted indefinitely, but as a liquid strategic asset.

“Bhutan’s approach suggests sovereign holders may begin adopting more sophisticated ‘hold and optimize’ strategies — actively managing volatility, realizing profits during strength, and reallocating capital when appropriate,” she added.

That represents an “important change” in how Bitcoin is perceived within “sovereign reserve management, Zhang noted, and could “encourage other nations” to explore similar treasury frameworks over time.

Bhutan’s sales have been uneven rather than systematic, according to Markus Levin, co-founder of XYO.

“Arkham’s October timeline assumes they keep selling at the same pace. They haven’t—it’s been bursts, not a steady drain,” he told Decrypt.

The kingdom’s Bitcoin sales have been uneven, beginning with 2,077 BTC worth $163 million in late 2024, followed by bursts including a $100 million tranche in September 2025, interspersed with quieter periods.

With Berkshire Hathaway’s cash at a record $397 billion and investors such as Michael Burry warning markets feel like 1999, Levin said selling now could prove timely, noting “selling Bitcoin at $80k” may be “the smartest sovereign wealth move of the decade.”

Bitcoin is trading at $80,500, down 0.3% in the past 24 hours and more than 36% from its all-time high of $126,080, according to CoinGecko data.

Bhutan mind most of its Bitcoin at “near-zero cost,” Levin said, adding that, “Whatever they sell, it’s a profit.” He noted that, “unlike a hedge fund, they have schools to build, salaries to pay, and a new city to fund. Bitcoin HODLing is a luxury for entities that don’t have citizens.”

Bhutan’s crypto push

The kingdom has emerged as one of the world’s most crypto-forward governments, designating Bitcoin, Ethereum, and BNB as strategic reserves for Gelephu Mindfulness City, a designated Special Administrative Region in southern Bhutan.

In December, Bhutan pledged up to 10,000 BTC, then worth approximately $1 billion, toward GMC’s development.

While the country offloads Bitcoin, its wider crypto push is moving forward.

On Tuesday, Gelephu Mindfulness City unveiled an accelerated licensing pathway for globally regulated firms, allowing companies from jurisdictions like Singapore, ADGM, and Hong Kong to fast-track approvals and begin operations with integrated banking access via DK Bank.

DK Bank offers multi-currency accounts across nine currencies, including USD, EUR, SGD, and INR, with fees fully waived for at least the first six months for GMC-licensed firms.

“Our goal is to create a trusted platform for digital assets and financial innovation, where regulation, infrastructure, and execution are aligned from the outset,” Jigdrel Singay, board member and digital assets lead at Gelephu Mindfulness City, said in a statement.