Bhutan continues to leverage new technologies, particularly Bitcoin and blockchain, to boost its economy. According to several reports, Gelephu Mindfulness City (GMC) is ready to integrate digital assets such as Bitcoin, BNB and Ethereum into its strategic reserve.
Mindfulness City near Gelephu is a newly established special administrative region that will serve as the country’s economic hub and tourist attraction. Bhutan’s King Jigme Khesar Namgyel Wangchuck told us that it is a modern city rooted in innovation, so the announcement of a Bitcoin and crypto strategic reserve is not surprising to many.
An important milestone for blockchain adoption! ✨⛰️
Gelephu Mindfulness City (GMC), Bhutan’s new Special Administration Region has just announced that it will hold BNB, BTC and ETH as part of its strategic reserve.Learn how BNB’s inclusion highlights global trust in the BNB chain… https://t.co/HCfgKJulIL
— BNB Chain (@BNBCHAIN) January 8, 2025
Bhutan continues its Bitcoin strategy
Bhutan is one of the first countries to see the potential of Bitcoin and blockchain technology. This tiny Himalayan Asian kingdom started mining Bitcoin in April 2019, when the world’s top digital asset was trading at the $7k level. Druk Holdings and Investments (DHI) and Green Digital Limited (GDL) serve as the country’s investment arms.
Source: Arkham Intelligence
Thanks to an early start in Bitcoin mining and adoption, Bhutan now has significant Bitcoin holdings. According to Bitwise Europe, Bhutan is currently holding over 11,000 Bitcoinsand this number will continue to grow with Mindfulness City’s recent announcement to add more BTC and cryptos to its strategic reserve.
The same Bitwise Europe chart also indicates that the US remains the largest sovereign holder of Bitcoin, with around 198,000 Bitcoin, and China is second on the list.
📌 Chart-of-the-Week 📌
Based on the latest public information available, the US remains the largest sovereign holder of bitcoin with approximately 198k BTC on government balance sheets, closely followed by China. pic.twitter.com/L3j5o95Oyx
— Bitwise Europe (formerly ETC Group) (@Bitwise_Europe) December 18, 2024
Bhutan’s Bitcoin Mining Initiative
Currently, Bhutan is developing its crypto mining facilities in a phased manner in collaboration with Bitdeer Technologies. Initially, the Kingdom launched a plant with 100MW capacity and is currently in operation. The government aims to start its second plant in the middle of the year, with a larger capacity of 500MW.
Interestingly, Bhutan has devised a plan to help offset the notoriously high energy consumption associated with crypto mining. Unlike other mining companies, the Kingdom has harnessed its hydropower resources to power its facilities.
Bhutan’s 100 MW mining center in Gedu is hydro-powered and environmentally friendly. The Gedu facility has over 30,000 crypto mining machines and can produce three to five BTC daily.
Bitcoin policy is becoming more popular
Bitcoin and crypto are now popularly integrated into many government policies, especially as part of a strategic asset reserve. The US remains the industry leader, at least in its efforts to integrate Bitcoin and cryptos into its national agenda. Last year, Senator Cynthia Lummis introduced a bill that would allow the government to establish a strategic reserve.
China is another country that is slowly adopting Bitcoin and the blockchain into its financial system. El Salvador, on the other hand, has redoubled its efforts to add more Bitcoin to its national treasury. Nevertheless, Bhutan remains a unique case for its independent Bitcoin facility that prioritizes eco-friendly technology.
Featured image from Pexels, chart from TradingView
