The Royal Government of Bhutan transferred an additional 519.707 BTC valued at approximately $36.75 million to external addresses on Wednesday, continuing a sustained drawdown of its sovereign Bitcoin reserves. On-chain data shows the country’s holdings have fallen to 4,453 BTC, worth around $315 million, compared to nearly 13,000 BTC at their peak in late 2024. That represents a decline of roughly 66% over the period. Total outflows so far this year have surpassed $150 million.
The pace of transfers has notably increased in recent weeks. Earlier in the year, between January and February, Bhutan was moving Bitcoin in increments of $5 million to $15 million at a time. By March, those transaction sizes had grown to between $35 million and $45 million per transfer, according to transaction analysis. Wednesday’s movement to external wallets follows patterns associated with exchange deposits, though the specific destinations have not been confirmed.
Bhutan’s approach to accumulating Bitcoin differs from most other governments. Rather than purchasing the asset on open markets, the kingdom built its reserves through mining operations powered by its abundant hydropower resources. This renewable energy advantage allowed Bhutan to accumulate a substantial treasury without direct market expenditure. The ongoing liquidation is considered one of the largest government Bitcoin sell-offs on record.
The consistent outflows have created sustained selling pressure in the market. Bitcoin was trading at around $69,410 at the time of the transfer, reflecting a 3% decline on the day, according to data from CoinGecko. Analysts note that the scale and regularity of Bhutan’s transfers make the sovereign activity a notable factor in near-term price dynamics.
The liquidation comes alongside broader plans for the country’s economic development. In December 2025, Bhutan pledged up to 10,000 BTC toward the development of Gelephu Mindfulness City, an economic hub planned for the southern part of the country. It remains unclear how the ongoing sell-offs relate to or affect that commitment. The government has not issued a public statement explaining the rationale behind the accelerated pace of transfers.
Originally reported by Decrypt.
