Bhutan is planning to use its vast hydroelectric power resources to generate positive and sustainable profits from different assets, including cryptocurrency.
Bhutan’s investment division has been mining bitcoin for a few years now in order to diversify its portfolio, using its large hydroelectric network to generate sustainable returns across different asset classes.
According to The Bhutanese, Ujjwal Deep Dahal, the CEO of Druk Holding and Investments (DHI), said that mining bitcoin is a part of a long-term investment plan.
Bhutan is using digital assets to finance its current operations, but also saving some for the future. They expect the value of Bitcoin to increase after its halving in 2024.
Bhutan is mining bitcoin to generate sustainable profits in various asset classes, including crypto. The country is using its vast network of hydroelectric power to mine bitcoin and offset expenses and environmental damage.
DHI can save money on bitcoin mining in Bhutan because of the lower production costs due to the country’s mountainous region and hydroelectricity projects. This enables them to purchase more mining equipment to generate greater returns.
Bhutan has paid back its bitcoin loans.
Bhutan is trying to expand its economy by exploring new areas such as tourism and agriculture. Mining bitcoin is another avenue the nation is exploring to diversify its economy.
DHI started mining BTC when its value was around $5,000, but it’s not clear when exactly they started.
Bitcoin was worth around $5,000 during the Covid-19 market crash in March 2020, which was the last time it traded at that price. Before that, in April 2019, it had surpassed $5,000 after staying below that level for many months during the previous bear market.
The CEO of Druk Holding and Investments, Ujjwal Deep Dahal, said in an interview with local media that Bhutan has fully paid back its bitcoin loans to BlockFi and Celsius, which it took out to fund its investments.
In the previous month, it was reported that DHI, the investment arm of Bhutan, deposited and withdrew millions of dollars in cryptocurrencies like bitcoin, ether, and USDC from crypto lenders BlockFi and Celsius.
