Bhutan government off-loading 400++ BTC

[Jating]

I don't think it's related to bitcoin hitting $100k, I did a little research on previous sales and found ---> November 1, 2024 Government Of Bhutan Sells $60M Off Its $900M Bitcoin, As Vietnam Launches National Blockchain^[1]
And here's another news on December 9 Bhutan Government Moves Fresh 502 BTC Worth $49M+ to Binance, QCP Capital^[2]
So they are probably selling 500 bitcoins every two weeks or every month.


[1] https://www.tekedia.com/government-of-bhutan-sells-60m-off-its-900m-bitcoin-as-vietnam-launches-national-blockchain-strategy/
[2] https://thecryptobasic.com/2024/12/09/bhutan-government-moves-fresh-502-btc-worth-49m-to-binance-qcp-capital/

They are slowly offloading some of their Bitcoin, but perhaps they are doing it near the top of the price, unlike like the German government who sold their Bitcoin when it was down.

And Bhutan has the power to sell at any price though, if we go with that argument. As they continue to mind Bitcoin after the sell, so meaning we are paying them for every mine Bitcoin and so they have the luxury to off load and sell any time and then uses that profit for any the purpose of improving the lives of their citizens as it could channel for government projects.

[ZAINmalik75]

It's from the mining business started on early 2019 where bitcoin is something like $5k. That amount has already doubled multiple times and gained profit by several hundred percent.

Check article from Forbes: https://www.forbes.com/sites/digital-assets/2024/09/17/how-bhutan-quietly-built-750-million-in-bitcoin-holdings/

Thanks for informing they made huge profit by selling now if they have not already. This must be a golden era for miners even if the hash rate and all that computation is also on peak but unit price can easily recover all of that. I was searching about LTC mining too and it says the last time LTC pumped it was very beneficial for miners so they cashed out and now it is back to $110 to $120.

The government made good profit from these selling and other countries should learn from this act too. The news is coming to my mind I have heard about it before that time our country rejected the mining proposal after accepting and giving it a try big loss for us.

[PX-Z]

Thanks for informing they made huge profit by selling now if they have not already. This must be a golden era for miners even if the hash rate and all that computation is also on peak but unit price can easily recover all of that. I was searching about LTC mining too and it says the last time LTC pumped it was very beneficial for miners so they cashed out and now it is back to $110 to $120.

The government made good profit from these selling and other countries should learn from this act too. The news is coming to my mind I have heard about it before that time our country rejected the mining proposal after accepting and giving it a try big loss for us.

Yes, but that is mining, we're talking about the capital to buy the equipments, regular maintenance, workers, etc. even though we can say they obviously take profit we don't how much actually it is without knowing these costs. But the good thing is they gain profit.

[Bobcrypto]

So more likely, Bhutan government transferring that huge amount to them might hint of a big sell off to take profits.

But still though, they have a lot of holdings, around 11,688 in BTC as of this writing.



https://intel.arkm.com/explorer/entity/druk-holding-investments

And perhaps they are selling to fund government projects. So it makes sense to sell near $100k'ish.

Why does the Bhutan government have these BTC did they seize them or invest in them? The amount is not big so it won't matter but if Bhutan also planned to sell to will USA then collectively market can fluctuate for a short period and then it will recover from this too.

Last time Germany and MT Gox started their activities at the same time and the market was dumped this time maybe Bhutan Government and SilkRoads funds are activated at the same time.

Sometimes the number of Bitcoin that Bhutan are selling off may not negatively impact the Btc bullish momentum, just like the Mtgox exchange Btc distribution to it's users that affected the market due to FOMO, at that time.
However, the Germans government Bitcoin sale off was absorbed by the market forces of demands despite the huge supply from the government into the market.
In a nutshell, some of the supply that enters the Btc market may not be felt because of higher demands at certain price renge over times.

[Faisal2202]

I think that you also create a best comment in your post. Because i believe that bhutan government wanted to hold BTC for best profit. So i believe that it also be a great decision for bhutan government. Because if we follow in cryptocurrency market, we can see that bitcoin price is increase day by day. So if bitcoin price will increase gradually then i believe that bhutan government decision is very prefer for crypto currency market. Because i think that it will be best benefited for there country.

They have been mining BTC and accumulated this much till now and they been holding them from some time and they are planning to sell them now it's in their own benefit obviously and the country will be making more money that's how I said crypto and crypto mining can change the life of an individual but now the economy of a country too.

This usecase was definitely as not predicted by the founders of BTC haha I mean those people are still fighting and angry at the fact that why BTC is being used as long term asset to invest in while it should be used for day to day trading and dealing. Which is also a good POV but what can be said.

[ZAINmalik75]

Sometimes the number of Bitcoin that Bhutan are selling off may not negatively impact the Btc bullish momentum, just like the Mtgox exchange Btc distribution to it's users that affected the market due to FOMO, at that time.
However, the Germans government Bitcoin sale off was absorbed by the market forces of demands despite the huge supply from the government into the market.
In a nutshell, some of the supply that enters the Btc market may not be felt because of higher demands at certain price renge over times.

Higher demand can certainly absorb these sales and even high sellings but the absorbing power is not the same now and it won't be the same every time BTC will go up long term investors would want to book their profits.

This is not bad news for BTC because 400 BTC is nothing for the whole market to absorb the amount is small and demand is more so it won't fluctuate the market even 1 to 4% that's why I added with other sellings combined it can make that much difference but demand is high still.

[Stompix]

Reading this article I'm starting to wonder how much of that secret stash is actually held by the government, they had a deal with Bitdeer,  are the coins their share, or did they choose to pay Bitdeer for the gear and the chips in fiat and they held to all the mined coins?
If that's their stash how come they get anything out of that wallet to  sell back in 2023 when they announced this liquidation:
https://thebhutanese.bt/bitcoin-powers-a-50-hike-for-public-servants/