A representative from the sovereign fund Druk Holding and Investments (DHI) denied reports of Bitcoin sales from Bhutan's national reserve in a comment to CoinDesk.
According to Arkham Intelligence, at its peak in October 2024, the kingdom owned approximately 13,000 BTC. Since then, DHI has reportedly moved and likely sold off a significant portion of its cryptocurrency. The wallet tracked by the analytics platform currently holds 3,121 BTC.
Source: Arkham Intelligence.
"I don't recall the last time we sold any Bitcoins," the DHI representative stated.
However, he declined to comment on the movement of funds, did not deny the ownership of the addresses flagged by Arkham, and did not disclose the amount of cryptocurrency remaining under government control.
Coins from the fund were transferred to wallets interacting with centralized exchanges and trading firms, including OKX and Galaxy Digital. An Arkham analyst noted that such transactions likely indicate sales, but confirmed that it is impossible to ascertain this definitively.
Bhutan's Bitcoin reserve was built through mining using excess hydroelectric power. The government continues to fund at least four cryptocurrency mining sites.
In recent months, coin inflows to the national fund have ceased, leading journalists to speculate that the government has halted mining due to declining profitability.
DHI stated that the country has been "fortunate this year" with early and consistent rains, which support the operation of hydroelectric plants at high capacity and ensure uninterrupted cryptocurrency mining.
"We are constantly upgrading our equipment, transitioning to the latest installations to remain competitive," the organization emphasized.
In May, Bhutan's special economic zone, the City of Mindfulness in Gelephu, introduced a streamlined licensing mechanism for cryptocurrency companies.