Strategy bought 4,871 BTC for $330 million last weekend, bringing its total to 766,970. U.S. spot ETFs absorbed approximately 50,000 BTC in March. The Ethereum Foundation staked $93 million of ether in a single day rather than sell. Even gold-backed sovereign funds have been adding to positions during the Iran conflict.

Bhutan is the only sovereign-level holder visibly liquidating. But there is also a question about whether the mining operation itself is still running.

Arkham data shows Bhutan’s last bitcoin inflow exceeding $100,000 was recorded over a year ago. A government that once generated bitcoin from power harnessed from its own rivers may now simply be spending down what it accumulated, with no new supply coming in to replace what it sells.

Druk Holdings has not responded to several emails and calls from CoinDesk over the past week, the latest of which was sent in the Asian morning hours on Friday. It has not publicly commented on the transfers or the status of its mining operation.

The economics may explain the shift, however.

Bhutan’s mining operation was viable when difficulty was lower, and bitcoin traded above $90,000. At current levels near $71,000, with network difficulty at all-time highs and the post-halving block reward reduced to 3.125 BTC, the margins on small-scale sovereign mining have compressed significantly.

The same hydropower that made Bhutan’s operation novel may now generate more revenue from electricity sold to neighboring India than from bitcoin mining, as mining hardware depreciates with every difficulty adjustment.

Choosing to sell rather than hold or mine is a data point about the gap between bitcoin’s narrative appeal to nation-states and the operational reality of maintaining a position through a prolonged drawdown.

Bhutan’s remaining 3,954 BTC is now smaller than what Strategy purchases in a typical week. The kingdom that once held 13,000 bitcoin mined from its own mountains is watching a single company in Virginia accumulate more in five days than Bhutan has left.

Read more: Bhutan moves another 500 bitcoin to exchanges as 2026 outflows top $150 million

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