Announced this week, the Bitcoin Development Pledge dedicates a portion of Bhutan’s sovereign bitcoin reserves, worth an estimated $860 million to $1 billion at current prices
Bhutan has pledged up to 10,000 bitcoin to support the long-term development of Gelephu Mindfulness City (GMC), positioning the Himalayan kingdom at the forefront of sovereign adoption of digital assets for national infrastructure and economic strategy.
Announced this week, the Bitcoin Development Pledge dedicates a portion of Bhutan’s sovereign bitcoin reserves, worth an estimated $860 million to $1 billion at current prices, to back the creation of a new special administrative region in southern Bhutan.
Officials stressed that the initiative is focused on long-term capital preservation rather than liquidating assets to fund short-term spending.
A long-term bet on bitcoin-backed development
Rather than selling bitcoin, Bhutan is exploring financing models that maintain exposure to the asset’s potential appreciation. These include collateralised lending, treasury and yield strategies, and intentional long-term holding to support infrastructure investment. The government said final decisions on how the assets will be deployed are expected in the coming months.
King Jigme Khesar Namgyel Wangchuck unveiled the commitment during his National Day Address, framing it as an intergenerational investment aimed at expanding opportunity for young Bhutanese.
“As your King, I must ensure that every Bhutanese is a custodian, stakeholder, and beneficiary of GMC,” he said. “This commitment is for our people, our youth, and our nation.”
Gelephu Mindfulness City
GMC is central to Bhutan’s broader effort to diversify its economy beyond hydropower and tourism while remaining aligned with its development philosophy rooted in sustainability and social well-being. Launched in 2024, the project is envisioned as a future economic hub spanning finance, technology, green energy, healthcare, agriculture, and high-value tourism.
The planned city covers roughly 1,544 square miles, about 10 per cent of Bhutan’s total land area, near the Indian border. A new land policy tied to the project will treat landowners as shareholders in the city’s development, allowing citizens across regions to participate in the economic upside. Since much of the land is state-owned, officials say the benefits will be distributed nationwide.
GMC itself has designated bitcoin, along with two other cryptocurrencies, as strategic reserve assets, making it one of the earliest jurisdictions to formally hold multiple digital assets at a municipal or regional level. Green Digital Ltd., which is leading the project’s infrastructure buildout, is prioritising green energy–powered data centres and blockchain infrastructure as part of the city’s long-term vision.
From hydro-powered mining to a national blockchain strategy
Bhutan’s bitcoin holdings originate from years of state-backed mining operations powered by surplus hydroelectric energy. Beginning around 2019–2020, the country quietly converted excess renewable power into bitcoin, allowing it to monetise unused energy capacity without increasing environmental impact. Estimates of Bhutan’s total bitcoin reserves vary widely, ranging from about 6,000 to more than 11,000 BTC, placing the kingdom among the world’s largest sovereign holders.
The bitcoin pledge builds on a wider blockchain push already underway. Bhutan has introduced crypto-enabled payments across its tourism sector through partnerships with DK Bank and Binance Pay, enabling visitors to pay with more than 100 digital assets at hotels, airlines, and local merchants. More than 100 tourism businesses now accept crypto payments.
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