Bhutan’s special administrative region to adopt Bitcoin, Ethereum in strategic reserves

Bhutan's Gelephu Mindfulness City plans to include Bitcoin, Ethereum, and BNB in its reserves, aiming to become a blockchain hub in South Asia.

Bhutan's Gelephu Mindfulness City is set to include Bitcoin, Ethereum, and BNB in its strategic reserves, reinforcing its position as a blockchain innovation hub in South Asia.

Bhutan's Blockchain Ambitions

Bhutan's newly designated Special Administrative Region, Gelephu Mindfulness City, has announced plans to include Bitcoin, Ethereum, and Binance’s BNB token in its strategic reserves. This move builds on Bhutan's existing Bitcoin holdings, which exceed 13,000 BTC, valued at approximately $750 million. The initiative aims to position the region as a hub for blockchain innovation in South Asia and reflects a broader trend of nations exploring digital assets as a hedge against inflation and economic instability.

Strategic Reserves and Economic Stability

The decision to diversify into digital assets was announced by the Bhutanese government during a press conference in Thimphu. Officials highlighted that the inclusion of cryptocurrencies in the national reserves is part of a broader strategy to safeguard the country's economy against global financial uncertainties. 'Digital assets offer a unique opportunity to diversify our reserves and protect against inflation,' said Finance Minister Lyonpo Namgay Tshering.

Building a Blockchain Hub

Gelephu Mindfulness City is envisioned as a center for technological innovation, with blockchain technology at its core. The region plans to attract startups, developers, and investors by offering a supportive regulatory environment and state-of-the-art infrastructure. 'We aim to create an ecosystem where blockchain technology can thrive, fostering innovation and economic growth,' said a spokesperson for the Gelephu Development Authority.

The move has been welcomed by the global cryptocurrency community, with many seeing it as a significant step towards mainstream adoption. However, experts caution that the volatility of digital assets poses risks that must be carefully managed. 'While the potential rewards are high, so are the risks. Bhutan will need to implement robust risk management strategies,' said a blockchain analyst at a leading financial consultancy.

https://redrobot.online/2025/01/bhutans-special-administrative-region-to-adopt-bitcoin-ethereum-in-strategic-reserves/