While the debate about the U.S. government’s Bitcoin holdings and El Salvador’s pioneering adoption continues to dominate headlines, a quiet revolution is taking place in the Himalayas. Bhutan, a small nation nestled between India and China, has been quietly adding Bitcoin to its reserves, making it a major player in the cryptocurrency world.
According to a report by Firstpost America, Bhutan holds approximately 13,011 Bitcoin, worth $821 million at the time of writing. This makes Bhutan the fourth-largest government holder of Bitcoin, surpassing El Salvador and placing it behind only the U.S., China, and the UK. Notably, Bhutan’s Bitcoin holdings represent almost one-third of its estimated GDP of $3.11 billion, highlighting its significant commitment to the cryptocurrency.
What sets Bhutan apart from other nations is the source of its Bitcoin holdings. Unlike nations that acquired their Bitcoin through law enforcement seizures, Bhutan has built its reserves through indigenously developed mining capabilities, leveraging its abundant hydropower resources. This strategic approach underscores Bhutan’s commitment to sustainable and self-sufficient Bitcoin accumulation.
The custody of Bhutan’s Bitcoin reserves is maintained by Druk Holdings, the country’s state-owned investment firm. This move signals a deliberate and strategic approach by the Bhutanese government, indicating its trust in the long-term potential of Bitcoin.
Michael Saylor, a prominent Bitcoin advocate and CEO of MicroStrategy, took to X (formerly Twitter) to highlight Bhutan’s remarkable achievement. “Bhutan is leading the way in global Bitcoin adoption,” Saylor wrote, adding, “We need to STEP IT UP!!!” This statement reflects the growing recognition of Bhutan as a frontrunner in Bitcoin adoption, prompting calls for other nations to follow suit.
Max Keiser, a senior Bitcoin advisor to El Salvador’s President Nayib Bukele, echoed Saylor’s sentiment, expressing surprise at Bhutan’s surpassing El Salvador in Bitcoin holdings. “We need to STEP IT UP!!!” he wrote, underscoring the competitive nature of Bitcoin adoption among nations.
The growing interest in holding Bitcoin in national reserves has been a topic of intense discussion in recent months. Former President Donald Trump even advocated for the idea during his campaign, further fueling the debate. Senator Cynthia Lummis (R-Wyo.), a vocal proponent of cryptocurrency, has proposed a bill to establish a U.S. strategic Bitcoin reserve, demonstrating the increasing momentum behind the concept.
As Bhutan’s example showcases, the world is witnessing a rapid shift towards Bitcoin adoption, not just by individuals but by nations themselves. This trend is poised to continue, with more countries likely to explore the potential of Bitcoin as a strategic asset in their national reserves.
