Crypto news

Bhutan's government wallets, tracked by the analytical platform Arkham, have transferred 533 BTC (approximately $34.5 million at the current exchange rate) to the cryptocurrency exchange Binance. This move confirms that the small Himalayan country continues to realize part of its bitcoin reserve, accumulated through eco-friendly mining.

After this transaction, about 1,750 BTC remain in addresses associated with Bhutan's authorities. Thus, nearly a quarter of the entire publicly known volume of the state's first cryptocurrency reserves was moved in a single transaction.

How does Bhutan mine bitcoins?

The uniqueness of Bhutan's strategy lies in the fact that its bitcoin reserve was formed exclusively through mining, rather than purchases on the open market. The state uses surplus hydroelectric power generated by local hydroelectric plants, making mining extremely cheap and carbon-neutral. Currently, the authorities continue to fund at least four specialized sites for cryptocurrency mining.

However, it is worth noting an important nuance: in recent months, the inflow of new coins into the national fund has completely ceased. This may indicate that either mining capacities have been redirected to other tasks, or mining has been temporarily suspended. In any case, the current sale indicates profit-taking amid favorable market conditions.

My analysis: The sale of 533 BTC is not a panic sell-off, but a measured decision regarding the management of state assets. Given that Bhutan's mining cost is close to zero, any sale at current prices yields a net profit. However, the complete halt in the inflow of new coins raises questions: perhaps the country is reviewing its mining strategy or preparing for a large-scale equipment upgrade. In any case, the remaining 1,750 BTC provide Bhutan with a significant safety margin for future maneuvers.