SKN Bhutan Moves $22M in Bitcoin as Prices Slide and Mining Pressures Mount

Key Points

• Bhutan transferred more than $22 million worth of bitcoin to a crypto market maker as prices continue to fall and mining economics deteriorate following the 2024 halving.
• Blockchain data suggests the transfers likely signal a sale, continuing a pattern of periodic bitcoin offloading by the Himalayan nation.
• Rising mining costs, falling output and a broader shift away from risk assets are weighing on Bhutan’s bitcoin strategy as global market conditions tighten.

State Bitcoin Sales Resurface Amid Market Stress

Bhutan has moved more than $22 million worth of bitcoin from its national reserves as the cryptocurrency’s price slump deepens and mining conditions grow more challenging.

Data from blockchain analytics firm Arkham shows the country transferred 184 bitcoin worth roughly $14 million on Wednesday, following another 100.8 bitcoin transfer valued at $8.3 million late last week. Both transactions were sent to crypto market maker QCP Capital, a move that typically signals preparation for liquidation rather than long-term custody.

Mining Economics Turn Less Favorable

Bhutan’s bitcoin strategy has been built around state-backed mining powered largely by hydroelectric energy, with operations launched in 2019. Since then, the country has accumulated an estimated $765 million in bitcoin, according to Arkham.

However, the economics of mining have shifted sharply. The cost to mine a single bitcoin has roughly doubled since the 2024 halving, while Bhutan’s annual production has fallen significantly. In 2023, the country mined around 8,200 BTC, a level it has been unable to sustain as network difficulty rises and margins compress.

As a result, Bhutan’s bitcoin holdings have dropped sharply from a peak of 13,295 BTC in October 2024 to roughly 5,700 BTC today.

Bhutan Slips in Global Bitcoin Rankings

With its reduced holdings, Bhutan has fallen to seventh place among nation-state bitcoin holders, according to Bitcoin Treasuries data. It now trails the United States, China, the United Kingdom, Ukraine, El Salvador and the United Arab Emirates.

Arkham noted that Bhutan has a history of selling bitcoin in sizable tranches, often around $50 million at a time. The most recent heavy selling phase occurred between mid and late September 2025, suggesting the latest transfers may be part of a familiar reserve management pattern rather than a one-off decision.

Cointelegraph reached out to Druk Holding and Investments, the state-owned entity overseeing Bhutan’s bitcoin operations, but did not receive a response at the time of publication.

Bitcoin Down More Than 40% From Peak

The timing of Bhutan’s transfers coincides with renewed weakness across crypto markets. Bitcoin is now more than 42% below its October all-time high of $126,080, trading under $72,000 as sentiment deteriorates toward levels last seen in mid-2022.

The downturn has been fueled by a mix of macro and sector-specific pressures, including U.S. government shutdowns, President Donald Trump’s tariff and geopolitical threats, stalled crypto market structure legislation in Washington and a broader investor rotation into safe-haven assets such as gold and silver.

Additional concerns around quantum computing risks and a decline in bitcoin’s network hashrate below one zetahash per second, as miners shut down unprofitable machines, have added to the bearish narrative.

Against that backdrop, Bhutan’s latest bitcoin movements underscore how even state-backed mining strategies are being tested by a tougher market environment and shrinking margins.