Bhutan Government's Bitcoin Treasury Value Exceeds $1 Billion

According to Arkham Intelligence, the Royal Government of Bhutan currently owns over $1 billion worth of Bitcoin. Two weeks ago, the country transferred $65 million worth of Bitcoin to a Binance wallet to prepare for selling, but continues to actively buy. Bhutan has not yet sold these assets. Meanwhile, in the US, Donald Trump's promises to establish an official Bitcoin Reserve have highlighted a growing trend. Bhutan's Growing Bitcoin Reserves According to the latest data from Arkham Intelligence, a blockchain analytics firm, the value of Bitcoin owned by the Royal Government of Bhutan has now exceeded $1 billion. Bhutan began buying Bitcoin through mining activities in 2021, accelerating this growth last year. Thanks to Bitcoin's All-Time-High, this value has increased even further. Bhutan's Bitcoin Reserves. Source: Arkham Intelligence This news comes less than two weeks after Bhutan sent over 900 BTC worth $65 million to a Binance account. Such a large transaction usually only indicates a major sell-off, like the sale of Germany's large assets this summer. However, Bhutan continues to mine Bitcoin at the same pace. In other words, this $1 billion milestone is mainly due to the strong price appreciation of Bitcoin, not large Bitcoin purchases. Bhutan's wallet actually has fewer Bit coins than before the transfer, but the country may be able to make up for this decline. New Bitcoin Holders While Bhutan is sending Bitcoin to Binance, other countries like El Salvador are restraining from selling. El Salvador has publicly stated that it will not sell its large Bitcoin holdings, no matter how high the price may rise. Donald Trump has also vowed to prevent such sell-offs as a campaign promise. However, the famous Bitcoin critic Peter Schiff recently commented on the potential impacts on the market:

"If the US government really sets up a Bitcoin Reserve and buys 1 million Bitcoin, they may end up buying millions more. Because the US government buying 1 million Bitcoin will drive the price up, many Bitcoin holders, when their holdings are worth millions or billions, will eventually start cashing out to spend their big gains,"

Schiff said.

This scenario assumes many things, not only that buying millions of Bitcoin out of the total 21 million would be very difficult, especially as the price is skyrocketing. However, it also illustrates the confidence that large Bitcoin reserves can bring. If the US government truly turns its reserves into a real Reserve, that would drive up the price. For Bhutan, such interactions would occur on a much smaller scale. Although a major Bitcoin investor and miner, the Bhutanese government has not expressed a desire to change market dynamics. Currently, they seem to be positioning themselves as another pioneering holder of state-owned Bitcoin reserves, at a time when this trend is developing. Join the BeInCrypto community on Telegram to stay updated on the latest analysis and news about the financial markets in general and cryptocurrencies in particular.