Bhutan has reportedly offloaded around 70% of its total Bitcoin holdings over the past 18 months. According to on-chain data from Arkham Intelligence, the country’s Bitcoin reserves dropped significantly from approximately 13,000 BTC in October 2024 to just 3,954 BTC currently, valued at around $280.6 million. This decline suggests a major strategic shift in how the kingdom manages its crypto assets.

Timeline of Bhutan’s Bitcoin Reserve Decline

Based on data compiled by Arkham, Bhutan has been gradually reducing its BTC holdings since late 2024. During this period, approximately 9,000 BTC were transferred out of wallets identified as state-owned.

Notably, in 2026 alone, recorded outflows reached $215.7 million in Bitcoin. This indicates an increase in selling intensity over the past few months.

Bhutan was previously known as one of the countries actively accumulating Bitcoin through mining operations powered by hydroelectric energy. This model was considered a sustainable approach in the crypto industry due to its relatively low-cost and environmentally friendly energy source.

Signs of Mining Activity Cessation

Beyond asset sales, data also shows a sharp decline in Bitcoin inflows from mining activities. It has been over a year since Bhutan last recorded mining-related inflows exceeding $100,000.

According to on-chain analysts, this trend suggests that Bhutan’s hydro-powered Bitcoin mining operations may have been halted or significantly scaled down.

“The consistent decline in BTC inflows from mining is a strong signal that this activity is no longer a top priority,” said a crypto analyst monitoring the data.

However, there has been no official statement from the Bhutanese government regarding this strategic shift.

Impact on the Market and Ecosystem

Despite the large volume of Bitcoin sold, the impact on market prices has been relatively limited. This is likely due to the gradual distribution of sales, preventing sudden selling pressure.

Still, Bhutan’s move may draw attention from market participants, as the country was previously considered an institutional “whale” in the crypto sector.

Additionally, the decision to reduce Bitcoin exposure and potentially halt mining operations may reflect a broader shift in approach toward digital assets both in terms of fiscal policy and national investment strategy.

Conclusion and Broader Context

Bhutan’s large-scale Bitcoin sell-off over the past 18 months marks a significant shift in its digital asset strategy. With reserves down by 70% and signs pointing to a halt in mining activity, the country appears to be reducing its reliance on Bitcoin as a store of value.

In a broader context, this move may reflect evolving dynamics in state-level crypto adoption, where economic factors, regulation, and energy efficiency are beginning to play a larger role compared to the earlier accumulation phase.