Bhutan Moves 490 BTC to Fresh Wallets as Sovereign Bitcoin Transfers Continue

The Royal Government of Bhutan moved 490.87 BTC, worth about $32.74 million, to fresh wallets over the past 24 hours, extending a series of large Bitcoin transfers from state-linked addresses in 2026.

Blockchain analytics platform Onchain Lens reported that the latest activity included one major transfer of 485 BTC, valued at roughly $32.31 million. Smaller transactions made up the remaining amount.

The Bitcoin left wallets identified as belonging to the Royal Government of Bhutan. Onchain Lens did not label the new recipient wallets as exchanges or trading firms, and it did not confirm whether the movement represented a sale.

That distinction matters. A transfer to a new or unidentified wallet does not prove that the Bitcoin was sold. Bhutan has previously sent BTC to unknown addresses as well as wallets tied to trading firms, making the final destination critical when assessing whether funds were liquidated or simply reorganized.

Bhutan’s Bitcoin Transfers Have Continued Through 2026

The latest movement came only days after another large transaction from Bhutan-linked wallets.

On Aug. 18, blockchain tracker Lookonchain reported that the Royal Government of Bhutan transferred 300 BTC, worth about $19.28 million, to a new wallet. Lookonchain described the transaction as another sale, although the initial movement itself went to a fresh address.

Earlier transfers have followed a similar pattern, with large amounts of Bitcoin leaving government-linked wallets before moving through other addresses.

By May, state-linked BTC outflows had already surpassed $230 million for 2026, according to Arkham Intelligence data previously reported by crypto.news. One May transaction involved 100.44 BTC, worth about $8.2 million, moving to an unlabeled wallet.

Arkham said at the time that Bhutan-linked addresses were averaging nearly $50 million in monthly Bitcoin movements during 2026. Some earlier transfers eventually reached Binance and Galaxy Digital, though Arkham also noted that movements to unidentified wallets should not automatically be treated as confirmed sales.

Bhutan’s wallet activity accelerated in March. On March 25, a state-linked address moved another 519.7 BTC, worth about $36.7 million, to two wallets. Onchain Lens identified one of the recipients as linked to crypto trading firm QCP Capital.

That transaction was the third major sovereign wallet movement recorded in March, following an approximately $72 million transfer and another $11.8 million movement earlier that month.

Visible BTC Holdings Have Fallen From Their 2024 Peak

Repeated transfers have reduced the amount of Bitcoin visible in wallets identified by blockchain analytics firms as belonging to Bhutan or its sovereign investment arm, Druk Holding & Investments.

Arkham data showed Bhutan held more than 13,000 BTC at its peak in October 2024. By March 25, identified holdings had fallen to 4,453 BTC, worth about $315 million at the time.

A few days before that March 25 transfer, Bhutan had moved about $72.3 million in Bitcoin over a 24-hour period. More than 973 BTC moved across several transactions linked to DHI, which oversees the country’s mining and digital asset operations.

The March movements followed smaller transfers earlier in the year. Arkham data showed Bhutan-linked wallets moved more than 284 BTC, worth roughly $22 million, during one week in February, including transfers to addresses associated with QCP Capital.

By March 20, Arkham estimated that more than $110 million worth of Bitcoin had left Bhutan-linked holdings since the start of 2026. The firm tracked transfers to counterparties including QCP Capital and Binance, while also recording movements to unidentified wallets.

The reported size of Bhutan’s holdings can vary depending on which addresses analytics firms classify as government-controlled. A transfer to a previously unknown address can reduce the displayed balance of a tagged sovereign portfolio even if beneficial ownership has not changed.

For that reason, the latest 490.87 BTC transaction confirms that funds moved from addresses attributed to Bhutan. It does not, based on available Onchain Lens data, confirm that the government sold the Bitcoin.

Hydropower Mining Built Bhutan’s Bitcoin Position

Bhutan accumulated much of its Bitcoin through mining rather than purchases or law-enforcement seizures.

The Himalayan kingdom began developing state-backed Bitcoin mining operations years ago, using its hydroelectric power resources to run mining facilities. DHI became the main state entity overseeing the program.

Arkham first publicly identified Bhutan’s holdings in 2024, when it traced more than 13,000 BTC to government-linked mining operations. At the time, the position was worth more than $750 million and made Bhutan one of the largest known government Bitcoin holders.

The country also expanded its mining infrastructure through a partnership with Bitdeer Technologies. Plans announced in 2024 called for another 500 megawatts of mining capacity, taking the planned total to 600 MW.

That makes Bhutan’s sovereign Bitcoin position different from those built through asset seizures. Its holdings were generated through mining operations tied to domestic energy infrastructure.

The government has since folded Bitcoin into plans beyond mining. In December 2025, Bhutan announced a Bitcoin Development Pledge linked to Gelephu Mindfulness City, a special administrative region being developed in southern Bhutan.

Under that strategy, the country pledged up to 10,000 BTC to support Gelephu’s long-term development, while outlining plans involving hydro-powered mining, long-term Bitcoin holdings and partnerships centered on the city.

Gelephu Is Building Around Digital Assets

Parts of the Gelephu strategy moved into implementation in 2026.

On July 30, Gelephu Mindfulness City appointed digital asset manager 3iQ to oversee an undisclosed portion of its Bitcoin treasury. The mandate covers professional management of BTC assigned to the city, while 3iQ establishes a local presence and supports investment expertise and knowledge transfer.

The amount of Bitcoin placed under management was not disclosed. The agreement followed the December 2025 pledge of up to 10,000 BTC for Gelephu’s development strategy.

Gelephu has also been building a regulatory framework for digital asset businesses. In May, the city introduced a fast-track licensing route for qualifying crypto companies already regulated in selected overseas jurisdictions. The framework allows firms licensed in approved markets to use existing regulatory records during the application process, while remaining subject to local oversight.

More recently, Bitget signed a cooperation agreement with the Gelephu Mindfulness City Authority to establish a local entity and pursue a Financial Services Licence. Under the August agreement, the exchange plans to work with the city authority on regulatory, operational and ecosystem development while preparing its licensing application.

The Key Question Is Whether Transfers Signal Sales

Bhutan’s latest 490.87 BTC movement adds to a year of visible sovereign wallet activity, but the available data leaves the central question unresolved.

Some earlier transfers eventually reached exchanges or trading firms. Others went to unidentified wallets. The latest recipient wallets have not been labeled as exchanges or known market counterparties.

Until those funds move further or additional disclosures emerge, the transaction should be treated as a sovereign wallet transfer, not definitive evidence of a sale. The broader pattern, however, remains important: Bhutan’s visible Bitcoin balances have fallen sharply from their 2024 peak, while the country continues to build a formal digital asset strategy around mining, treasury management and Gelephu’s financial infrastructure ambitions.