The small South Asian country of Bhutan has emerged as one of the largest holders of Bitcoin, according to Arkham Intelligence.
The country holds 13,011 Bitcoins, valued at approximately $780.49 million, making it the fourth-largest government in Bitcoin holdings. This revelation is notable because, unlike most governments that acquire Bitcoin through asset seizures, Bhutan’s Bitcoin holdings come from its mining operations.
Bhutam Emerges as Major Bitcoin Mining Land
The government of Bhutan’s investment branch, Druk Holding & Investments, oversees the country’s Bitcoin mining operations. Several sites have been chosen for the mining operations, with the main one being constructed on the now-defunct Education City project site.
As Arkham Intelligence pointed out, the timeliness of these mining activities was verified using on-chain data and satellite images.
Bhutan’s partnership with Bitdeer, a cryptocurrency mining business, to launch a fully carbon-free Bitcoin mining facility in May 2023 marked a crucial turning point in the country’s Bitcoin mining history. This collaboration highlights Bhutan’s dedication to environmentally sustainable mining methods, driven by its abundant hydropower reserves.
Druk Holding & Investments and Bitdeer intended to increase their mining capacity from 100 megawatts to 600 megawatts, according to a Bloomberg story earlier this year. This development demonstrates Bhutan’s goal to become a leader in ecologically responsible Bitcoin mining by utilising its abundant natural energy resources to run large-scale, green operations.
Bhutan’s Plans to Leverage HydroPower Technology
Bhutan’s decision to support Bitcoin mining is consistent with its overarching economic plan to make use of its hydroelectric resources. With an abundance of clean energy resources, the nation is ideally situated to lead the way in environmentally sustainable cryptocurrency mining.
Bhutan stands alone in the worldwide scene where bitcoin mining has drawn criticism for its negative environmental effects due to its emphasis on sustainability.
Bhutan’s clever use of Bitcoin mining demonstrates its progressive attitude to both technology and environmental care at a time when more governments are experimenting with digital assets.