Bhutan Sells $33 Million in Bitcoin As BTC Drops Below $90,000

The Royal Government of Bhutan recently sold 367 Bitcoin, valued at approximately $33.5 million, via Binance.

Data from Arkham Intelligence shows the transaction occurred on Thursday morning when Bitcoin’s price exceeded $90,000. Since then, Bitcoin has dropped over 3% to $87,000.

Bhutan Is Still the First-largest Government Bitcoin Holder 

This sale follows a $66 million Bitcoin transaction two weeks ago, executed when BTC reached $70,000. Combined, Bhutan has liquidated nearly $100 million worth of Bitcoin in the past month.

Arkham data shows that Bhutan still holds 12,206 Bitcoin, currently worth nearly $1.11 billion. These assets are managed by Druk Holding & Investments. The government appears to capitalize on price surges, selling portions of its holdings during market rallies.

Bhutan ranks as the fifth-largest government holder of Bitcoin, trailing the United States, China, the United Kingdom, and Ukraine. Unlike other nations, which often acquire Bitcoin through asset seizures, Bhutan mines its Bitcoin, leveraging its hydroelectric resources.

Royal Government of Bhutan’s overall crypto holdings. Source: Arkham Intelligence

Governments Continue to Benefit From the Market Rally

Much like Bhutan, several governments are looking to reap economic benefits from their Bitcoin reserves in the current market rally. El Salvador is leveraging the Bitcoin surge to buy back its national debt. 

In 2021, El Salvador became the first country to adopt Bitcoin as legal tender. Since then, the country’s BTC reserve has grown to over $515 million. The country even recently raised $1.6 billion in funding to build the first Bitcoin City. 

Bitcoin has been rapidly progressing towards mainstream adoption throughout this year. The approval of Bitcoin ETFs back in January drove significant retail investment in the cryptocurrency. There’s also a prominent regulatory shift in the US after Donald Trump’s re-election. 

Earlier today, US Republican senator Lummis proposed a bill to sell the Federal Reserve’s gold and buy 1 million BTC to boost the government’s Bitcoin reserves. 

The state of Pennsylvania also introduced a bill to allocate 10% of state funds to buying BTC. The state proposes to use Bitcoin as a hedge to combat inflation and diversify its investments.