Bhutan Invests in Crypto Via BlockFi, Celsius
The Bitcoin business is still in its infancy. Almost every part of the world knows about this market; some have even started using these digital assets. One of them was Bhutan, a country in the Himalayas. The government has secretly invested millions of dollars in Bitcoin [BTC] and other cryptocurrencies.
The nation used BlockFi and Celsius, two businesses no longer operating, to invest in cryptocurrencies. The public has not learned about their interests because the firms have gone bankrupt.
Documents filed in court say that BlockFi and Celsius were clients of Druk Holding & Investments [DHI], Bhutan’s $2.9 billion state investment arm. In a recent study, Forbes showed that this is true.
Druk Holding & Investments is in charge of managing a portfolio of local assets. Since at least 2022, Druk has been quietly building a portfolio of crypto assets. It got out accidentally during the crypto epidemic of 2022, when FTX, Celsius, and other companies went down hard.
How much Bitcoin was bought?
User Deposit and Withdrawal – 90 Day – Source: Celsius SoFA
Shout out to those who were able to Chapter 7 liquidate themselves at 100 cents on the dollar 🙏🙏 pic.twitter.com/nTdIVFrBXq
— Celsius Loans (@CelsiusLoans) February 20, 2023
Also, a report with Celsius showed that DHI took out more than $65 million and put about $18 million in digital assets. Also, transaction logs show that between April and June of 2022, Druk Holding & Investments and an account called “Druk Project Fund” did many different things. This included putting Bitcoin, Ethereum, Tether, and a few other assets in, taking them out, and borrowing them.
BlockFi’s lawyers said that DHI didn’t repay its $30 million loan in March, so they filed a lawsuit against the group to get back the money.
BlockFi said that DHI refused to repay the loan in full after selling the 1,888 Bitcoin used as protection. It was worth $76.5 million at the time. The CEO of DHI, on the other hand, says that the “matter with BlockFi has been settled.”
