Bhutan pledges $1 billion from its bitcoin reserves to fund the Gelephu Mindfulness City, aiming to boost the economy and curb youth emigration.
THIMPHU: Bhutan has pledged to invest USD 1 billion from its national cryptocurrency reserves to develop a “Mindfulness City”.
The Himalayan kingdom announced the allocation on Wednesday to mark its national day.
King Jigme Khesar Namgyel Wangchuck said the investment aims to make the Gelephu Mindfulness City (GMC) an economic hub.
“I must ensure that every Bhutanese is a custodian, stakeholder, and beneficiary of GMC,” the King stated.
“To support this policy, I am announcing today the allocation of up to 10,000 BTC (bitcoin), valued at approximately USD 1 billion.”
The commitment is intended to benefit the nation’s people and youth.
Bhutan has long championed a policy of prioritising “Gross National Happiness” over economic growth.
This philosophy has not solved widespread unemployment, however, forcing thousands of young people to emigrate.
The GMC project is part of broader efforts to reverse that trend by attracting foreign investment.
The special economic zone near the Indian border was first announced in 2023.
The King previously described Gelephu as a “Mindfulness City, encompassing conscious and sustainable businesses, inspired by Buddhist spiritual heritage”.
Carbon-negative Bhutan has utilised its cheap hydropower to mine cryptocurrency.
Its state-run Druk Holding and Investments invested USD 539 million to establish crypto operations in 2021-2022.
That sum represented nearly a fifth of the country’s total GDP at the time.
Bhutan has since developed sizeable cryptocurrency holdings, although their exact value is not public.
The nation also earns substantial revenue by exporting hydropower to energy-hungry India.
Bhutan’s GDP per capita is approximately USD 3,718, according to World Bank data. – AFP
