Bhutan Admits to Bitcoin Mining Since 2019
The Bhutanese government has revealed that it has been using hydroelectric power to mine Bitcoin since the cryptocurrency was valued at just $5,000.
According to Forbes, following a local media investigation, Bhutan's government confirmed that not only did it invest millions of dollars in purchasing cryptocurrency, but it also built infrastructure to support Bitcoin mining when BTC prices were around $5,000, likely in April 2019.
Profits from crypto mining have been reinvested to upgrade mining equipment. Bhutan has also chosen to hold a certain amount of BTC, preparing for a potential price increase leading up to the 2024 halving event.
Bhutan, located near the Himalayas, is renowned for consistently ranking among the top countries with the highest Gross National Happiness (GNH). The country also benefits from abundant hydroelectric power, as it sits close to high-gradient rivers originating from the Himalayas, with hydroelectric energy accounting for up to 30% of its GDP.
Despite this, Bhutan has not disclosed the scale of its Bitcoin mining operations and has not publicly announced its investments in cryptocurrency.
Forbes also reports that cryptocurrency mining firm Bitdeer is in talks with the Bhutanese government to establish a BTC mining facility with a capacity of 100 megawatts. If realized, this new facility could contribute up to 12% of Bitdeer's crypto mining capacity.
