Bhutan is betting heavily on Bitcoin to build its future economic hub.

Author: Ashrith Rao; Translator: Plain Language Blockchain

Bhutan is taking a significant step into the cryptocurrency space, announcing an allocation of up to 10,000 Bitcoins (BTC) (approximately $1 billion) to fund the Glep Mindfulness City initiative.

For years, the Bhutanese government's investment arm, Druk Holding & Investments (DHI), has been mining Bitcoin using renewable energy. Currently, the country is one of the world's leading Bitcoin holders, with total reserves exceeding 11,000 BTC.

To achieve sustainable development, the government plans to support GMC's development through methods such as mortgage loans and yield generation, rather than directly selling Bitcoin.

This special administrative region will attract businesses in sectors such as finance, tourism, green energy, and technology. The core program, the Grope Plan, aligns with its Gross National Happiness philosophy and commitment to environmental sustainability. Its goals are to increase local employment, reduce youth emigration, and establish Bhutan as a leader in digital asset creation. King Jigme Khesar Namgyel Wangchuck of Bhutan stated, “To support this policy, I am announcing the allocation of up to 10,000 bitcoins. This commitment is for our employees, our young people, and our country.” This commitment is based on three fundamental concepts: **Sustainable mining using hydropower resources, transforming clean energy into wealth.** **Using mining proceeds to **improve the economic and social conditions of the people.** **Encouraging global partnerships in the Bitcoin strategy, emphasizing a **long-term commitment and trust.** Bhutan's Crypto Path in the Himalayas Bhutan is the world's first sovereign nation to develop a Bitcoin mining program. The government increases reserves through sustainable energy practices, converting surplus electricity into a non-sovereign store of value. Currently, Bhutan has integrated blockchain technology at multiple levels: BN Pay: A national tourism payment system launched in May 2025, allowing tourists to use over 100 cryptocurrencies. TER Token: A gold-backed digital token launched on the Solana blockchain. Digital Identity (NDI): A blockchain-based national digital identity system covering 800,000 residents. Key Milestones and Strategies: Bhutan's attitude towards Bitcoin is less speculation and more a national strategy. Energy Transition: Bhutan has historically relied on electricity exports, making it highly susceptible to seasonal demand. Bitcoin mining provides a year-round monetization channel, converting surplus energy into sovereign digital reserves. Fiscal Backing: In 2023, Bhutan selectively sold BTC to fund significant pay rises for civil servants, stabilizing public sector talent.

Summary: Cautious Bets on Sovereign Cryptocurrencies

The Grep Initiative represents Bhutan's shift from "tactical use" to "structured integration." By using Bitcoin as collateral and yield strategies, Bhutan is attempting to achieve capital accumulation and economic growth without relying on external financing.

While this model faces challenges in risk management and market volatility, it provides a reference for countries around the world: **digital assets can serve as the cornerstone of national economic planning, not just a peripheral asset.