The Kingdom of Bhutan has announced a landmark Bitcoin Development Pledge, committing up to 10,000 Bitcoin ($BTC ) from its sovereign reserves — valued at roughly $1 billion — to support the long-term development of the Gelephu Mindfulness City (GMC) economic hub. The move marks one of the most ambitious uses of cryptocurrency by a nation in pursuit of economic diversification and sustainable growth.
Strategic Allocation of National Bitcoin
According to official statements, the government’s pledge will allocate up to 10,000 $BTC — a significant portion of Bhutan’s crypto holdings — toward financing infrastructure, attracting investment, and generating employment within the Gelephu region. While the exact mechanisms are still being outlined, authorities emphasize that the funds are intended to be deployed through prudent financial strategies rather than immediate asset sales.
King Jigme Khesar Namgyel Wangchuck announced the pledge during the country’s National Day Address, framing it as a generational investment that will benefit the nation’s youth, broaden economic opportunities, and support long-term prosperity.
Funding Approach and Economic Implications
Rather than converting Bitcoin into fiat currency, Bhutan plans to use mechanisms such as collateralized lending, risk-managed yield strategies, and long-term holding approaches to finance GMC development while preserving underlying reserve assets. This strategy underscores the government’s intention to leverage Bitcoin’s potential price appreciation and decentralized financial utility without exposing national reserves to unnecessary volatility.
Bhutan’s substantial crypto stash — estimated at over 11,000 $BTC , ranking among the largest holdings by a sovereign state — stems mainly from state-supported mining operations powered by abundant and cheap hydroelectric energy.
