Bhutan’s Hidden Bitcoin Fortune With $1.3 Billion Crypto

Last Updated on June 29, 2025 by SPN Editor

Tucked away in the Himalayas, Bhutan, a nation of under 800,000 people, has quietly built a Bitcoin fortune worth $1.3 billion—equivalent to roughly 38% of its $3.4 billion GDP. By harnessing its abundant hydropower to mine cryptocurrency since 2019, the Buddhist kingdom has secured its place as the world’s fourth-largest sovereign Bitcoin holder, trailing only the United States, China, and the United Kingdom. Orchestrated by a royal-backed strategy, Bhutan’s ascent in the digital asset realm is a remarkable blend of sustainable innovation and economic foresight.

Bhutan’s Bitcoin journey began in April 2019, when the cryptocurrency was valued at around $5,000. Under the guidance of King Jigme Khesar Namgyel Wangchuck, the state-owned Druk Holding and Investments (DHI) launched mining operations powered by the kingdom’s vast hydroelectric resources. Fueled by glacier-fed rivers, Bhutan’s hydropower plants generate surplus energy, making them ideal for the energy-intensive process of Bitcoin mining. By June 2025, Bhutan held 12,062 BTC, valued at approximately $1.3 billion at a Bitcoin price of $106,000, according to blockchain analytics from Arkham Intelligence.

Managed by DHI and its CEO, Ujjwal Deep Dahal, Bhutan’s crypto strategy has been a model of discretion. A 2023 partnership with Bitdeer Technologies has scaled mining capacity from 100 megawatts to a planned 600 megawatts by mid-2025, with a major facility established on the site of the former Education City project. This sustainable approach leverages Bhutan’s renewable energy to produce Bitcoin at low cost, minimizing environmental impact while maximizing economic gain.

The $1.3 billion Bitcoin reserve is a game-changer for Bhutan, a nation historically dependent on hydropower exports, tourism, and agriculture. With a GDP of $3.4 billion in 2024, the kingdom’s crypto holdings represent a financial buffer unmatched by many small economies. The COVID-19 pandemic highlighted vulnerabilities in Bhutan’s traditional sectors, prompting DHI to intensify its digital asset investments. Beyond Bitcoin, Bhutan holds 656 ETH ($1.74 million) and smaller stakes in BNB, Polygon, and Tether. Strategic sales, such as 406 BTC to QCP Capital in 2025 and 367 BTC via Binance in 2024, have funded critical initiatives, including a 50% salary hike for civil servants in 2023 and infrastructure projects to combat a 19% youth unemployment rate.

Globally, Bhutan’s 12,062 BTC places it behind the U.S. (207,189 BTC, ~$22 billion), China (190,000 BTC, ~$20 billion), and the U.K. (61,000 BTC, ~$6.5 billion), but ahead of Ukraine (46,351 BTC) and El Salvador (6,210 BTC). Unlike nations that acquire Bitcoin through seizures or purchases, Bhutan’s mining-driven approach sets it apart, earning digital wealth through its natural resources. This has positioned the kingdom as a leader in sustainable crypto mining, drawing attention from global blockchain communities.

Yet, risks remain. Bitcoin’s price volatility—from $69,000 in 2021 to below $17,000 in 2022 and $106,000 in 2025—poses challenges for an economy so heavily exposed to a single asset. Global regulatory shifts could also complicate Bhutan’s strategy, though its focus on mining rather than trading mitigates some market risks. By holding Bitcoin as a long-term reserve and selectively selling to meet domestic needs, Bhutan balances ambition with caution.

Bhutan’s digital vision extends beyond Bitcoin. A 2023 decentralized national identity platform and a cryptocurrency payment system for tourists, developed with DK Bank and Binance Pay, signal broader blockchain ambitions. The “Mindfulness City” project in Gelephu, a special economic zone, aims to integrate blockchain and AI to attract investment while upholding Bhutan’s philosophy of Gross National Happiness.