Bhutan has introduced a national Bitcoin Development Pledge, committing to allocate up to 10,000 bitcoins , equivalent to about $860 million at current market rates, aimed at developing Gelephu Mindfulness City.
This pledge positions bitcoin as a key national asset rather than merely a speculative instrument, with officials examining strategic avenues like collateralization, treasury management, and long-term holdings to fund development while safeguarding value, as outlined in a press release on Wednesday.
Decisions regarding the deployment of these assets are anticipated in the upcoming months.
Gelephu Mindfulness City will serve as a unique administrative zone aimed at utilizing digital assets for its financial reserves, playing a crucial role in Bhutan’s broader blockchain initiative to diversify its economy and draw in investments.
The nation has been a pioneer in bitcoin mining, effectively converting excess hydropower into digital currencies for several years. Bhutan has assured that it will persist in mining bitcoin using its surplus clean energy without negatively impacting the environment.
This commitment expands upon a more comprehensive digital strategy that includes blockchain-powered national digital identities, crypto-enabled payment systems for tourism and businesses, and the recent launch of TER, a gold-backed sovereign token.
Through these initiatives, Bhutan aims to integrate digital finance with governance, sustainability, and social outcomes, particularly benefiting younger generations.
