- Bhutan has recently emerged as a surprising major investor in Bitcoin (BTC).
- Bhutan’s Bitcoin reserves allegedly surpass those of El Salvador.
- Druk Holdings, Bhutan’s investment arm, reportedly manages these assets through Bitcoin mining operations.
Discover how Bhutan, a South Asian country, has quietly amassed significant Bitcoin reserves and its implications for the global crypto landscape.
Bhutan’s Unexpected Foray into Bitcoin
In a striking revelation, it has been unveiled that the Kingdom of Bhutan holds an astonishing amount of Bitcoin (BTC), surpassing even the well-publicized Bitcoin holdings of El Salvador. According to on-chain analysis performed by Arkham Intelligence, several Bitcoin addresses have been linked to Bhutan, collectively holding approximately 13,029 BTC, valued at around $758 million.
The Role of Druk Holdings
Druk Holdings and Investments (DHI), Bhutan’s sovereign investment arm, is identified as the primary entity managing these substantial Bitcoin assets. DHI’s Bitcoin mining operations are believed to be the principal source of its BTC holdings. Additionally, DHI holds 656 Ethereum (ETH), equivalent to approximately $1.5 million, along with smaller amounts of Binance Coin (BNB) and Polygon (MATIC).
Comparing Bhutan and El Salvador’s Bitcoin Strategies
When compared to El Salvador, Bhutan’s Bitcoin holdings are nearly double. El Salvador began purchasing Bitcoin in September 2021, when BTC was valued at around $51,700. Currently, El Salvador possesses 5,875 BTC, worth roughly $331 million. In contrast, Bhutan’s strategic accumulation of 13,029 BTC places it significantly ahead in terms of Bitcoin reserves.
Economic Implications and Energy Sources
El Salvador’s approach has been to buy Bitcoin at an average cost of $43,900, resulting in a 32.6% profit. El Salvador utilizes volcanic geothermal energy for Bitcoin mining. Interestingly, Bhutan’s hydropower resources serve as the backbone for their Bitcoin mining operations. This not only further cements Bhutan’s commitment to sustainable energy but also underscores the strategic importance of renewable resources in crypto mining.
Conclusion
Bhutan’s quiet yet substantial investment in Bitcoin highlights its strategic foresight in leveraging digital assets. The country’s significant BTC holdings, powered by sustainable energy, could set a precedent for other nations in adopting similar tactics. As Bhutan continues to explore and expand its Bitcoin mining operations, its role as a heavyweight in the crypto sphere is likely to solidify, offering valuable insights into the potential for integrating renewable energy with digital asset investments.
