The Bhutanese government transferred $63 million in Bitcoin (BTC) on March 24 to three separate wallets, as reported by analytics from a blockchain data firm. At the time of reporting, one of these wallets contained 600 BTC, valued at around $53 million.
Since 2019, Bhutan has utilized its plentiful hydroelectric resources to mine Bitcoin. In September 2024, blockchain analysis revealed the first wallet associated with the government’s investment arm, Druk Holdings. Following the transfers on March 24, this wallet now possesses $889.9 million invested in Bitcoin.
Recent data indicates that Bhutan’s cryptocurrency assets constitute 30.7% of its gross domestic product (GDP), which was approximately $2.9 billion in 2023, according to the latest World Bank statistics.
While Bitcoin is the main cryptocurrency in the Bhutanese government’s portfolio, it appears the nation is not solely focusing on Bitcoin for its strategic reserves. The Druk Holdings wallet also contains $334,580 worth of Ether (ETH), along with smaller quantities of LinqAI (LNQ), Phil (PHIL), and Apu Apustaja (APU), among others.
In October 2024, the government moved $66 million of its Bitcoin holdings to a major exchange. In recent months, there have been incremental transfers of Bitcoin and Ether from the primary wallet to various other addresses.
Governments Embrace Cryptocurrency Reserves
The trend of adopting cryptocurrency extends beyond the national government level in Bhutan; municipal authorities are also getting on board. In January 2025, the Gelephu Special Administrative Region announced its plans to recognize multiple digital assets as part of its strategic reserves.
The embrace of Bitcoin as a strategic reserve has proven beneficial for several governments amid the ongoing bull market from 2024. For instance, El Salvador’s Bitcoin holdings surged to a value of $100 million in November 2024, while the U.S. government’s Bitcoin assets have surpassed $17 billion.
While national governments often attract most of the attention, some state governments in the U.S. are considering Bitcoin reserves as well. Texas, for example, has passed a Bitcoin reserve bill that awaits the governor’s signature to become law. Meanwhile, various proposals in states like Arizona are progressing toward enactment, though several states have dismissed their Bitcoin proposals for differing reasons.