Bhutan, a small nation nestled in the Himalayas, is on track to reach nearly £1 billion in Bitcoin holdings, as recent estimates indicate its current stash is valued at approximately £780 million. This significant accumulation positions Bhutan as the fourth-largest government holder of Bitcoin globally, surpassing even more prominent cryptocurrency adopters like El Salvador.
The Kingdom’s foray into Bitcoin began in 2019, driven by its abundant hydropower resources which support eco-friendly mining operations. Managed by the state-owned Druk Holding & Investments (DHI), Bhutan’s Bitcoin assets have been generated entirely through its own mining activities rather than through seizures or purchases, a unique approach among governments.
Recent reports highlight that Bhutan’s Bitcoin reserves now account for nearly 30% of its gross domestic product (GDP), reflecting a strategic pivot towards diversifying its economy amidst traditional reliance on hydropower, tourism, and agriculture. The government has partnered with Bitdeer Technologies to expand its mining capacity from 100 megawatts to an ambitious 600 megawatts by 2025, further solidifying its commitment to this burgeoning sector.
As global interest in cryptocurrencies continues to rise, Bhutan’s proactive stance may serve as a model for other nations exploring digital asset investments.
