Gelephu Mindfulness City, Bhutan’s Special Administration Region, has revealed plans to include Bitcoin (BTC), Ethereum (ETH), and BNB in its strategic reserves.
The Himalayan kingdom believes that the inclusion of these crypto assets will boost the region’s economic resilience and expand on its existing involvement in Bitcoin mining.
Bhutan To Hold BTC, ETH, And BNB
In a Jan. 8 announcement, Bhutan’s Special Administrative Region, Gelephu Mindfulness City (GMC), announced that it plans to recognize major cryptocurrencies, including Bitcoin and Ether, as part of its strategic reserves. Once enacted, it will be one of the first jurisdictions that hold cryptocurrencies as part of its strategic reserves.
Notably, unlike other regions exploring Bitcoin-only strategic reserves, Bhutan’s GMC intends to hold other established crypto assets like BNB as part of its potential crypto strategic reserve.
“GMC intends to recognize digital assets with large market capitalizations and deep liquidity to ensure that they can be easily bought and sold with minimal price impact,” the administration indicated.
As per the announcement, the city administration is set to consult its crypto strategic reserve plan with senior Bhutan government officials and global leaders in March.
Bhutan Already Holds Over $1 Billion In Bitcoin
Gelephu Mindfulness City’s announcement comes as the Kingdom of Bhutan already holds Bitcoin and other cryptocurrencies through the country’s state investment arm, Druk Holding & Investments (DHI). According to Arkham Intelligence, Bhutan now has the fourth-largest government holdings of Bitcoin, with a stash of over 11,688 BTC — worth roughly $1.11 billion as of press time.
Bhutan’s Bitcoin reserves are the result of mining efforts that started in 2019, with the tiny nation capitalizing on its abundant hydroelectric power to support its mining activities.
Unlike other nation-states, which normally acquire Bitcoin through asset confiscations, Bhutan’s crypto wealth originates directly from its green-powered mining farms.
On Oct. 29, Bhutan moved $66 million in Bitcoin as the king crypto’s price surpassed $70,000, suggesting the nation was looking to book some profits. The BTC stash was sent to Binance in two separate transactions.
In addition to Bitcoin, Arkham’s data shows that DHI is also holding $2.1 million in ETH, along with smaller amounts of Binance Coin (BNB), Polygon (MATIC), SAND, and other cryptocurrencies.