Bhutan Transfers $173 Million in Bitcoin to Binance Amid Market Gains

Bhutan, a South Asian monarchy, has recently made significant movements in its cryptocurrency holdings, transferring a substantial amount of Bitcoin to the exchange Binance. This activity comes as the largest cryptocurrency, Bitcoin, navigates uncharted territory, with the country seemingly poised to capitalize on recent gains.

The country, known for its stable economic growth, has been proactive in including digital assets in its government holdings. Over the past few days, Bhutan has transferred over $173 million worth of Bitcoin to Binance. The transfers, identified by the on-chain analysis firm Arkham, occurred over four days, with the largest transaction valued at $113.9 million. The Royal Government of Bhutan began these transfers on Thursday, starting with a smaller transaction of $37,800. The transfers were made from a wallet held by Druk Holdings, the commercial and investment arm of the Government of Bhutan.

Despite these transfers, Bhutan still holds a significant amount of Bitcoin, with over 11,000 BTC remaining in its wallet. This remaining amount is valued at over $1.280 billion, based on the most recent prices. Even if Bhutan sells the Bitcoin it transferred, it would still be ranked 5th in the world for holdings, positioned between Ukraine’s stash of over 46,000 BTC and above El Salvador’s over 6,000 BTC.

This is not the first time Bhutan has employed such a strategy. During last year’s rally, the country moved roughly $60 million worth of BTC when the price was around $70,000 per unit. Bhutan has been accumulating Bitcoin for some time, possibly even earlier than 2017. The country began mining Bitcoin when the price was roughly $5,000, utilizing its vast, natural hydroelectric resources. In addition to Bitcoin, Bhutan holds approximately $2 million worth of Ethereum and plans to include other assets in its treasury.

Bhutan’s strategic moves in the cryptocurrency space are part of a broader effort to stimulate economic growth. The country has created a Special Administration Region – Gelephu Mindfulness City (GMC), with plans for a strategic reserve of Bitcoin, Ethereum, and Binance Coin. The purpose of establishing this region is to create a vibrant economic hub by providing a conducive business environment and compelling incentives. The aim is to establish a clean technology innovation hub by attracting global investment to stimulate economic growth. This initiative is inspired by Bhutan’s Buddhist spiritual heritage and is distinguished by the uniqueness of the Bhutanese identity, as outlined in the King’s royal address to the nation in 2023.