Bhutan and Bitdeer’s Bitcoin Mining Expansion Ahead of Halving Concerns

Bhutan, which is tucked away between China and India, is preparing to work with Bitdeer, a mining company listed on the Nasdaq, to significantly increase its capacity for mining Bitcoin. The action is taken in anticipation of the fourth halving event, which is predicted to cut mining payouts in half, as the bitcoin market gets ready.

Druk Holding & Investments (DHI), Bhutan’s investment arm, plans to increase mining output in an effort to lessen the possible income effect of the impending halving. They intend to raise the country’s mining capacity by an astounding 600% in partnership with Bitdeer, with a target increase of 500 megawatts by 2025.

Embracing Innovation

Ujjwal Deep Dahal, CEO of DHI, emphasizes the importance of this upgrade, stating it “will be built on Bitdeer’s latest hardware to lower costs and improve computing power.” This strategic move aligns with Bhutan’s broader vision of diversifying its economy beyond its heavy reliance on hydropower.

The nation sees crypto mining as a cornerstone in fostering an innovation ecosystem. DHI has ongoing ventures in asset tokenization and is developing “Bhutanverse,” a metaverse initiative in collaboration with Smobler and The Sandbox.

With the upcoming halving in April, which will slash mining payouts in half, bitcoin miners around the world are bracing themselves for lower rewards. Nonetheless, Bitdeer and DHI both profess confidence in continuing to run efficiently. Their confidence is well-founded because to Bitdeer’s low mining costs, which are under $20,000 per Bitcoin.

Although the precise financial information is yet unknown, it is anticipated that the $500 million fund that both parties formed in May 2023 would provide money for this enormous project. Bhutan and Bitdeer are set to make major advancements in the field of cryptocurrency mining because to their access to cutting-edge gear and a plentiful supply of hydroelectric electricity.