Bhutan, the Himalayan Kingdom which is known for valuing happiness over money, is now exploring ways to mining green cryptocurrency using clean hydropower. It also views blockchain as a new path to boost the economy and create new jobs.
How Bhutan’s Crypto Profits Are Funding Salaries
Notably, green cryptocurrencies are digital currencies mined using clean energy resources like wind, hydro or solar power instead of fossil fuel. Bhutan has quietly made millions by investing in some of the top cryptocurrencies, the profits was then used to pay government salaries for two years, as per senior officials in Thimpu.
Bhutan’s quiet crypto journey began in 2019, when the country’s sovereign wealth fund, Druk Holding and Investments, started adding digital assets to its portfolio. The fund’s CEO, Ujjwal Deep Dahal says that Bhutan’s 100% hydropower energy makes their crypto mining clean, green, and sustainable.
Bhutan Uses Hydropower to Mine Bitcoin and Boost Economy
Remarkably, Bhutan uses its clean hydropower to run the energy-intensive supercomputers that mine digital assets for the blockchain. Officials are also considering if large companies could buy Bhutan’s ‘green’ coins to meet their ESG targets. CEO Dahal also highlighted that apart from giving more value to hydropower energy, Bitcoin has also opened up foreign currency liquidity. He also stressed that training Bhutan’s youngsters in blockchain and AI would create newer jobs.
With a population of around 800,000, Bhutan is battling with the loss of young educated workers as more than 10% in the age group left the country in search of better opportunities.
To combat this, Bhutan’s ambitious plan to become a leader in green digital currency depends on expanding its hydropower capacity. Currently, it has 3.5 gigawatts of power but needs 33 gigawatts. The country plans to generate 15 gigawatts over the next 10 to 15 years, which will support its push for a green crypto future.
Prime Minister Backs Bitcoin Mining Strategy
Bhutan’s prime minister Tshering Tobgay has recently described state-backed Bitcoin mining as a smart strategy where people have earned billons of dollars. He also stressed that governments should get involved in crypto mining too and recognise its potential for economic growth.
According to data from Arkham, as of April 9, Bhutan’s Bitcoin holdings are valued at over $600 million, which makes up an impressive 30% of the country’s GDP. Besides, it also holds other cryptocurrencies like Ethereum and LinqAI. The country’s king, Jigme Khesar Namgyel Wangchuck, has been a strong advocate for investing in digital infrastructure to fuel future growth.
Governments Embrace BTC
Unlike many governments that acquire Bitcoin through seizures from criminals, Bhutan’s Bitcoin holdings are from government backed mining operations. Governments are now embracing Bitcoin as recently US President Trump announced a strategic Bitcoin reserve while El Salvador holds nearly $550 million in BTC. Other countries like the Central African Republic and France are also recognizing Bitcoin as legal tender, signaling a shift in global financial strategies.
