This small country secretly invested millions in bitcoin

The past few years have been marked by the initial institutional adoption of bitcoin (BTC) and other cryptocurrencies. There were also a number of countries that were very enthusiastic about bitcoin. It now appears that there was also a country that invested in crypto in a not-too-public way: Bhutan.

Bhutan had a loan from BlockFi, bitcoin from Celsius

That has Forbes discovers. Bhutan is a small, country locked kingdom in the Himalayas, between China and India. Most people may not even know about the country, but it has an investment fund called Druk Holding & Investments that manages a whopping $2.9 billion. For example, it owns a local cheese maker, several hydroelectric power stations and Royal Bhutan Airlines. In total, it would manage 21 different companies.

According to Forbes, the fund was or is also in cryptocurrencies, at least since 2022. When crypto lenders BlockFi and Celsius went bankrupt, documents were submitted to the court containing the names of the customers and lenders of these companies, which Druk also appears to be among. to stand.

The fund had an outstanding loan of 30 million USDC with BlockFi. After the bankruptcy in November, lawyers of the latter sent a complaint to Thimpu, Bhutan’s capital and seat of Druk. The loan had not yet been repaid.

Druk had 1,888 BTC as collateral with BlockFi as collateral for the loan. The collateral was worth about $76 million at the time of the loan. However, this was not enough to repay the loan when BlockFi wanted it, leaving the company still $820,000 short.

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It also had an account at Celsius. The names of all customers of this company were published in the lawsuit surrounding the bankruptcy. Druk apparently had no loan here at the time of the bankruptcy. However, between April and June of 2022, it had deposited about $18 million in coins and withdrawn $65 million in crypto.

Bhutan is not alone

Bhutan is not the only country to enter the crypto world. El Salvador is the most famous example, which is even one of the largest investors in bitcoin. In addition, the Central African Republic (CAR) has made bitcoin an official reserve currency.

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