Bhutan has pledged up to 10,000 bitcoins (about $1 billion) to support the development of Gelephu Mindfulness City, a new special economic zone that the king is promoting as a hub for sustainable industry and jobs.
According to the report, the allocation was announced on a national holiday and was structured as a long-term commitment to fund urban growth rather than quickly selling off reserves.
King Announces Bitcoin Allocation
According to King Jigme Khesar Namgyel Wangchuck, the pledge is “for our people, our youth and our nation” and aims to make all Bhutanese “stewards, stakeholders and beneficiaries” of the project. The statement directly linked the Bitcoin allocation to the government’s plans to support economic opportunities within Gelephu.
Bhutan and Cumberland DRW have signed a multi-year MoU to establish a responsible digital asset ecosystem in Gelephu Mindfulness City in line with the vision of His Majesty King Jigme Khesar Namgyel Wangchuck.
The partnership focuses on sustainable digital asset infrastructure. pic.twitter.com/IJR7t3oHYl
— gmcbhutan (@gmcbhutan) December 15, 2025
Digital Reserve Plan
According to the report, officials stated that rather than immediately liquidating their holdings, they will hold on to 10,000 BTC, focusing on preserving value while generating returns through a careful and risk-managed strategy.
The government has also signed a multi-year memorandum of understanding (MOU) with market maker Cumberland DRW to help build digital asset infrastructure and explore reserve management, stablecoins and renewable energy-based mining in the district.
Concept image of Bhutan's 'Mindfulness City." Source: GMC gallery
City details and goals
Mindfulness City covers a very large area and is presented as an economic response to youth migration, low birth rates and lack of jobs.
The plan is a mix of green energy, technology, tourism and regulated finance, with space reserved for vetted companies and infrastructure projects such as airports and ports, according to previous press reports. The project’s promoters present it as a way to create higher value works without giving up Bhutan’s environmental and social goals.
Partnerships and practical steps
Officials said the partnership with Cumberland will focus on establishing market access and institutional-level operations for the city’s cryptocurrency activities, including a national stablecoin experiment and sustainable mining associated with renewable power. Local leaders have looked to legal and investment partners to give investors a clearer path for projects in the region.
Global Impacts and Risks
Analysts note that this is one of a larger number of sovereign moves to use Bitcoin as a development tool, and that the pledge raises clear questions about governance, transparency and the treasury’s possible exposure to cryptocurrency price fluctuations.
The report shows both opportunities and risks. The fund can underwrite major projects, but it also requires careful oversight to avoid losses that could harm public services.
Featured image by Visit Bhutan, TradingView chart
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