Global Bitcoin Reserves Dwindle as Governments Hoard 463K BTC – The Great Digital Gold Rush

Nations tighten grip on Bitcoin as reserves shrink—proof they finally understand the assignment.

Subheader: The 463K Club – Who’s Holding and Who’s Folding?

From confiscations to strategic buys, governments now control enough BTC to crash—or pump—the market on a whim. Guess which one they’ll choose?

Closing jab: Meanwhile, your pension fund still thinks ’blockchain’ is a type of Peloton accessory.

“A significant development was President Donald Trump’s executive order in March 2025 to create a “Digital Fort Knox”—a strategic cryptocurrency reserve consolidating Bitcoin from asset forfeitures,” the report stated. 

China still holds the second-largest government stash of Bitcoin, totaling around 194,000 BTC worth $17.6 billion, despite its prohibition on crypto trading and mining. According to CoinGecko, most of these assets stem from the 2019 PlusToken Ponzi scheme. The government has not revealed any plans for what it intends to do with the confiscated Bitcoin.

Furthermore, other nations continue to influence the Bitcoin landscape through varied strategies. The UK currently holds 61,000 BTC—worth about $5.6 billion—seized from criminal cases, with no clear decision yet on whether to liquidate or repurpose the assets.

Bhutan stands out as one of the few countries mining Bitcoin directly, accumulating 8,594 BTC via hydro-powered operations. El Salvador has grown its reserves to 6,135 BTC through daily purchases, aligning with its ongoing Bitcoin adoption plan.

Meanwhile, Ukraine received 256 BTC in donations—entirely spent on military and humanitarian aid—while Germany sold off its 46,359 BTC holdings in 2024, triggering a notable 15.7% price dip.

CoinGecko noted that governments typically acquire Bitcoin through asset seizures, direct purchases, mining operations, or public donations.

Several governments have acquired Bitcoin through seizures tied to cybercrime, with the U.S., China, and the U.K. leading in holdings from major cases like Silk Road, PlusToken, and money laundering probes.

El Salvador remains the only nation making daily Bitcoin purchases, holding 6,135 BTC as part of its national reserve strategy. Bhutan accumulates Bitcoin via hydro-powered mining, while Ukraine has received over 256 BTC in donations, most of which have been liquidated for military and humanitarian use.

As governments continue to engage with Bitcoin in varied ways, their actions are shaping new precedents for how nation-states might approach digital assets in the years ahead. Whether through regulation, accumulation, or innovation, the role of sovereign players in the crypto space is becoming harder to ignore.

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Michaela has no crypto positions and does not hold any crypto assets. This article is provided for informational purposes only and should not be construed as financial advice. The Shib Magazine and The Shib Daily are the official media and publications of the Shiba Inu cryptocurrency project. Readers are encouraged to conduct their own research and consult with a qualified financial adviser before making any investment decisions.