Bhutan, the Himalayan Kingdom which is known for valuing happiness over money, is now exploring ways to mining green cryptocurrency

Notably, green cryptocurrencies are digital currencies mined using clean energy resources like wind, hydro or solar power instead of fossil fuel.

Known for its stunning Himalayan scenery and Buddhist culture, Bhutan is a small country with big plans. The nation, which is also known for valuing happiness over money, is now exploring ways to mine green cryptocurrency using clean hydropower. It is also considering how blockchain can be used to create new jobs and boost the economy.

Notably, green cryptocurrencies are digital currencies that are mined using clean energy like wind, hydro or solar power instead of fossil fuel.

Bhutan has quietly made millions by investing in some of the top cryptocurrencies and the profits were used to pay government salaries for two years, senior officials in Thimpu told.

Bhutan’s journey into crypto began in 2019, when the sovereign wealth fund, Druk Holding and Investments, started adding digital assets to its portfolio.

The fund’s CEO, Ujjwal Deep Dahal, told that the country’s 100% reliance on hydropower makes their crypto mining clean, green, and sustainable.

“We are able to mine Bitcoin and other cryptocurrencies in a way that is carbon neutral and does not contribute to climate change,” said Dahal.

How Bhutan Uses Hydropower to Mine Bitcoin and Boost Economy

Explaining further, officials said that Bhutan uses its clean hydropower to run the energy-intensive supercomputers that mine digital assets for the blockchain. They are also exploring the possibility of large companies buying Bhutan’s ‘green’ coins to meet their ESG (environmental, social, and governance) targets.

“Apart from giving more value to our hydropower energy, which is a renewable resource, Bitcoin has also opened up foreign currency liquidity for us. In addition, we can start training our younger generation in blockchain technology and AI, which will create newer jobs for them,” said the official.

With a population of about 800,000, Bhutan is battling the loss of young, educated workers, as more than 10% in the age group are leaving the country in search of better opportunities.

To counter this, Bhutan’s ambitious plan to become a leader in green digital currency hinges on expanding its hydropower capacity.

Currently, the country has 3.5 gigawatts of power but it needs 33 gigawatts. The nation 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

Recently, discussing the potential of Bitcoin mining, Bhutan’s prime minister Tshering Tobgay said that it’s a smart strategy, adding that people have earned billions of dollars.

The prime minister, who is also a keen cryptocurrency investor, stated that governments should get involved in crypto mining 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 is about 30% of the country’s GDP. Besides Bitcoin, the Southeast Asian nation’s sovereign wealth fund is also investing in other cryptocurrencies, including 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.

It must be noted that unlike many governments that acquire Bitcoin through seizures from criminals or through donations, Bhutan’s Bitcoin holdings are from government backed mining operations.

Recently, there has been a surge in governments investing in cryptocurrencies. US President Trump announced the formation of a strategic Bitcoin reserve, while El Salvador is now holding nearly $550 million in BTC.

Earlier this year, the Central African Republic (CAR) president declared Bitcoin as legal tender in the country, making it the second nation to adopt the cryptocurrency as fiat.

Moreover, France is now considering investing in major cryptocurrency exchange Binance to expand its presence in Southeast Asia. These developments highlight a broader shift in global financial strategies as governments are exploring new avenues to generate revenue and diversify their investments.