Bhutan, the tiny Himalayan kingdom known for its "Gross National Happiness" index, has a surprising new claim to fame. The Buddhist nation is secretly hoarding a massive Bitcoin fortune.
Data sleuths at Arkham Intelligence have blown the lid off Bhutan's crypto stash. The kingdom owns a whopping 13,011 BTC, worth about $780.49 million.
This revelation is a real head-turner. It puts Bhutan in the big leagues of government Bitcoin holders.
"Bhutan is the 4th largest government with Bitcoin holdings on our platform, with over $750M in BTC," Arkham tweeted. But here's the kicker: unlike other governments, Bhutan isn't sitting on seized assets.
The kingdom's Bitcoin comes from its own mining operations. And they've been ramping things up since early 2023.
Druk Holdings, Bhutan's investment arm, is behind this crypto push. They've set up mining facilities across the country. The biggest operation? It's on the site of a failed "Education City" project.
Arkham's sleuths didn't stop at blockchain data. They've been playing detective with satellite imagery too.
"We were able to corroborate the timeline of on-chain mining activity with time-lapse satellite imagery of facility construction," Arkham noted. Pretty nifty, right?
But Bhutan isn't going it alone. In May 2023, they teamed up with Bitdeer for a 100% carbon-free mining operation.
Earlier this year, Bloomberg reported that Druk Holding & Investments and Bitdeer were thinking big. They're planning to boost mining capacity from 100 to 600 megawatts.
Bhutan's eco-friendly mining approach is no accident. The kingdom's flush with hydropower, making it a prime spot for green Bitcoin production. This crypto venture is a far cry from Bhutan's traditional image. The kingdom, nestled in the eastern Himalayas, is known for its stunning monasteries and pristine landscapes.
Bhutan's embrace of Bitcoin mining represents a bold step into the digital age. It's a stark contrast to the country's carefully preserved cultural heritage. The kingdom has long prioritized environmental conservation. Its constitution mandates that 60% of the land must remain forested.
Bhutan's Bitcoin strategy could potentially boost its economy. The country has been grappling with youth unemployment and a growing national debt.
However, the volatile nature of cryptocurrencies poses risks. Bhutan's significant Bitcoin holdings could expose it to market fluctuations.
The kingdom's move into crypto mining also raises questions about energy use. While Bhutan's hydropower resources are substantial, balancing power needs with environmental goals could prove challenging.
As Bhutan navigates this new digital frontier, the world watches with interest. The Dragon Kingdom's Bitcoin gambit could reshape its economic future - for better or worse.