Bhutan has sold another $22 million worth of Bitcoin from its state-backed mining reserves, signalling continued liquidation amid crypto prices’ retreat and worsening mining economics.
Blockchain analytics firm Arkham revealed that Bhutan transferred 184 Bitcoin, worth about $14 million, on Wednesday, following a separate transfer of 100.8 BTC, valued at $8.3 million, last Friday. Both transactions were sent to crypto market maker QCP Capital, a move that typically suggests an imminent sale, as market makers facilitate asset liquidation.
Bhutan is selling Bitcoin. pic.twitter.com/WDuUQmBZsU
— Arkham (@arkham) February 4, 2026
The latest transfers bring the total value of Bitcoin moved by Bhutan this week to roughly $22.3 million.
Mining costs rise as Bhutan’s Bitcoin reserves shrink
Bhutan began mining Bitcoin in 2019 through a state-owned initiative powered largely by hydroelectric energy, accumulating an estimated $765 million worth of BTC over the years, according to Arkham.
However, the economics of mining have shifted sharply. Since the 2024 Bitcoin halving, the cost of producing one Bitcoin has nearly doubled, while Bhutan’s mining output has fallen significantly. In 2023 alone, the country mined roughly 8,200 BTC, a pace it has struggled to maintain.
As a result, Bhutan’s Bitcoin holdings have dropped steeply, falling from a peak of 13,295 BTC in October 2024 to about 5,700 BTC today.
Bitcoin’s broader slump weighs on national treasuries
The sell-off comes amid a broader downturn in the crypto market. Bitcoin is now down nearly 43% from its all-time high of $126,080 recorded last October, trading below $72,000 as sentiment weakens to levels last seen in mid-2022.
According to Bitcoin Treasuries data, Bhutan has now slipped to seventh place among nation-states holding Bitcoin, behind the United States, China, the United Kingdom, Ukraine, El Salvador and the United Arab Emirates.
While Bhutan has not publicly explained the latest sales, Arkham noted that the country has historically sold Bitcoin in batches of around $50 million, with the last major selling phase occurring in mid-to-late September 2025.
Additional concerns, ranging from quantum computing risks to Bitcoin’s security model to a drop in network hashrate as miners shut down unprofitable machines, have further weighed on market confidence.
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