Bhutan is looking to liquidate a billion dollar worth of Bitcoin to fund its next ambitious project called the “Gelephu Mindfulness City” (GMC). The country’s decision to explore BTC’s utility for purchase comes just days after its government was lauded at the Binance Blockchain Week by exchange founder Changpeng Zhao (CZ) for initiating a pro-crypto approach.
This week, a national BTC Development Pledge was declared by Bhutan consisting of upto 10,000 BTC tokens. With BTC presently trading at $87,000 – 10,000 BTC would amount to $870 million. The asset price, however, is likely to rise eventually as per analysts – piggybacking of which Bhutan has allocated 10,000 BTC tokens to the fund.
King Jigme Khesar Namgyel Wangchuck announced the development during his speech marking the 118th National Day of Bhutan on Wednesday, December 17. More details were shared by the official X handle of the GMC.
“Guided by the vision of His Majesty King Jigme Khesar Namgyel Wangchuck, the pledge reflects a values-led, responsible approach to using digital assets for national resilience, jobs, and youth opportunity,” said the X handle of the Gelephu Mindfulness City that was established in January this year.
The country is forging its way to become a hotspot for responsible crypto mining. Citing that it has abundant hydroelectric power, Bhutan said it plans to use the excess renewable energy towards BTC mining to add more value to its national economy.
“The intention of this pledge is clear: as Bitcoin grows in value over time, that strength will return to the country and to the opportunities available for our people. BTC is being set aside with purpose and put to work for the long-term development of our nation through the growth of Gelephu Mindfulness City,” the announcement posted by the GMC said.
The country has asked members from the crypto industry – builders, investors, and enterprises – to join its BTC-funded project.
“In return, Bhutan will strive to offer a stable, predictable, and principled regulatory environment, digital banking and financial infrastructure, and an efficient process for establishing operations,” the GMC post noted.
Crypto is a controlled industry in Bhutan. Data by BitBo shows Bhutan ranks fifth on the index of countries with the largest BTC holdings. The list shows the U.S., China, the U.K., Ukraine, and Bhutan as the five largest BTC holding nations in the world.
Source: BitBo
While tourists are allowed to pay in crypto via Binance pay, the domestic and retail trading of assets remains restricted by the central bank. Basically, the use of crypto for state-led initiatives in allowed in Bhutan however, crypto activities remain largely unavailable for the common people.