When Will the Royal Government of Bhutan Stop Selling Bitcoin?

The Royal Government of Bhutan has continued reducing its Bitcoin holdings, raising questions over how long the country’s selling activity may continue after months of steady outflows from state-linked wallets.

According to reports, Bhutan has sold more than $200 million worth of Bitcoin since the start of 2026. The kingdom now holds roughly 3,400 to 3,800 BTC, valued near $263 million to $272 million, depending on market prices and wallet-tracking estimates.

Bhutan’s Bitcoin position was built through state-backed mining operations linked to its hydroelectric power resources. At its peak in late 2024, the country’s holdings were estimated at nearly 13,000 BTC. Since then, more than 70% of that balance has been moved out through repeated transfers.

Bhutan Cuts Bitcoin Holdings From Peak

On-chain data shows Bhutan has sold about 9,579 BTC since its peak holdings were recorded. The latest transfer involved 100 BTC, worth nearly $7.8 million, moving from government-linked wallets.

The sales have not appeared as a single large liquidation. Instead, Bhutan has moved Bitcoin in smaller batches, often valued between $5 million and $10 million. Some transfers have gone to exchange-linked wallets, trading firms, OTC desks, and unlabelled addresses.

Source: Arkham

This pattern suggests a managed selling strategy rather than a sudden market exit. Smaller transactions may reduce the chance of sharp price disruption while allowing the government to gradually convert Bitcoin into cash or other assets.

Mining Slowdown Changes Reserve Strategy

Bhutan’s Bitcoin holdings were unusual among governments because they were mined rather than seized through law enforcement actions. The country used excess hydropower to support mining operations through its sovereign investment arm.

That strategy helped Bhutan build one of the largest known government Bitcoin positions. However, wallet data now shows little evidence of major new mining inflows for more than a year.

The lack of fresh inflows suggests mining activity has slowed sharply or stopped. Without new production replacing sold coins, each transfer reduces the country’s remaining Bitcoin reserve.

Bhutan’s realized profit from Bitcoin is estimated at more than $750 million. Because the coins were mined using domestic hydropower, the cost basis may be far lower than open-market purchases.

Remaining BTC Could Last Into Late 2026

At the current pace, analysts are estimating that Bhutan’s remaining Bitcoin could be exhausted by around October 2026. That projection assumes the government continues selling at recent rates and does not restart major mining operations.

The final timeline could change if Bitcoin prices rise, sales slow, or authorities decide to retain part of the remaining reserve. A policy shift could also leave Bhutan with a smaller strategic Bitcoin position rather than a full exit.

For now, the wallet activity points to continued monetisation, but the government has not issued a detailed public explanation of its long-term Bitcoin plan.