It has been revealed that secret state-owned Bitcoin mining facilities exist in the South Asian country of Bhutan.
An investigation conducted by the American business magazine Forbes revealed secret Bitcoin production facilities belonging to the Kingdom of Bhutan.
According to satellite images from Planet Labs, Satellite Vu, and Google Earth, as well as sources familiar with cryptocurrency investments in Bhutan, there are four cryptocurrency mining facilities that have never been publicly disclosed.
Currently, the only country in the world that has openly state-owned cryptocurrency mines is El Salvador. However, the evidence uncovered shows that the Kingdom of Bhutan is also involved in this act.
Satellite images reveal long, rectangular mining units and data center cooling systems hidden among the dense forests and mountainous terrain of the Himalayan country.
Other images show high-capacity power lines and transformers running from hydroelectric power stations in Bhutan to mining sites.
A massive Bitcoin mining site located on the grounds of the defunct Education City in Bhutan
One of the sites is located near the Dochula Pass, a sacred site with 108 memorial temples. Other cases were discovered in Trongsa, a mountain town in the center of the country, Djana in the south, and Education City, a failed $1 billion government project to boost the economy.
Starting in 2020, electricity consumption has increased
Forbes, which is tracking excavations and building construction, said work on the sites began in 2020.
The kingdom’s investment authority, Druk Holdings & Investment (DHI), confirmed the existence of the mines. “The locations of the facilities related to Bitcoin mining in Bhutan were selected based on the logistical needs of the operations, such as power supply and various other factors,” the statement provided to Forbes read.
Cryptocurrency mining operations in Bhutan have caused an increase in energy imports and use in the country in recent years. The kingdom, which has sold its surplus hydropower to India in the past, will buy electricity worth $20.7 million in 2023.
Bitcoin mining facility in Dagana rural district
Fan King Crypto
Bhutan’s ruler, King Jigme Khesar Namgyel Wangchuk, has long been fascinated by cryptocurrencies and hopes they will benefit the economy of the mountainous nation of less than 800,000 people.
While Bhutan suffers from a decline in tourism during the Covid-19 pandemic, it is also facing a brain drain caused by high youth unemployment and increased migration rates.