According to data from on-chain analysis tool Arkham, Bhutan, a landlocked country between India and China, has accumulated 13,029 Bitcoins worth more than $780 million in recent years through mining operations operated by state-owned investment company Druk Holdings. It is equivalent to nearly one-third of the country’s gross domestic product (GDP), which also makes it the fifth largest country in the world in terms of Bitcoin holdings.
It’s worth mentioning that unlike most countries, these Bitcoins did not come from assets seized by law enforcement. Arkham said in a post on X (formerly Twitter):
“Bhutan has built Bitcoin mining facilities in multiple locations, the largest of which is located at the site of the closed Education City project. Unlike most governments, Bhutan’s Bitcoin does not come from asset seizures by law enforcement agencies; Coming from Bitcoin mining activities, these mining operations have grown significantly since the beginning of 2023.”
BREAKING: BHUTAN GOVERNMENT’S $750M BTC NOW ON ARKHAMBhutan’s Bitcoin holdings are now labeled on Arkham. These holdings come from Bitcoin mining operations carried out by the Kingdom of Bhutan’s investment arm, Druk Holdings.Arkham is the first to publicly identify these… pic.twitter.com/a8ScUNJJ9F
— Arkham (@ArkhamIntel) September 16, 2024
According to CoinDesk, these mines are likely to be related to the mining giant Bitdeer. The company announced in 2023 that it would cooperate with the Bhutanese government to establish cryptocurrency mining operations in Southeast Asia and raised more than 500 million for the project. Dollar. Shortly thereafter, BitDeer announced that a 100-megawatt (MW) facility had been completed in the first phase of the company’s project. In April 2024, BitDeer also stated that it planned to expand Bhutan’s mining capacity to 600 megawatts in 2025.
Bhutan's economy relies on hydropower, tourism and agriculture as sources of income. In 2022, Bhutan's gross domestic product (GDP) will be less than US$3 billion, about half that of the Maldives. However, Druk Holdings is actively promoting investments in multiple areas to expand state revenue. The company’s website shows that “digital assets” are one of the main areas of focus in its technology-driven investment strategy, which also includes hydropower projects and the Metaverse.
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