Bhutan Bets Big On 'Green' Crypto To Power Economy, Retain Talent
Bhutan is setting its sights on a high-tech, eco-friendly economic makeover — powered by hydropower and fueled by digital currencies. The tiny Himalayan kingdom, known for measuring prosperity through Gross National Happiness, is now mining cryptocurrency using 100 per cent renewable energy and eyeing a future where blockchain becomes a key driver of growth and employment.
At the heart of this initiative is Druk Holding and Investments Ltd., Bhutan's sovereign wealth fund, which began quietly adding cryptocurrencies to its portfolio in 2019. The fund’s CEO, Ujjwal Deep Dahal, revealed that the country’s green energy profile — sourced entirely from hydropower — makes its crypto uniquely sustainable.
"We are a nation that runs 100 per cent on hydropower, and every digital coin we mine in Bhutan using hydropower offsets that coin which gets mined using fossil fuels," Dahal told Reuters.
"So a coin mined in Bhutan will contribute to the green economy."
Fighting Brain Drain With Blockchain
With over 10 per cent of Bhutan’s youth population migrating abroad between 2022 and 2023, the country is grappling with rising youth unemployment, which hit 16.5 per cent in 2024. Officials are now turning to blockchain and AI as a way to create domestic job opportunities and reduce this exodus.
"Bitcoin has not just given more value to hydropower energy, it has also increased access to liquidity in foreign currency," Dahal said, adding that training young Bhutanese in emerging tech fields is central to the country’s economic plans.
Bhutan has already used profits from its early crypto investments to pay government salaries for two years, according to senior officials in Thimphu. The government is now studying how it can expand this success into a broader economic strategy.
Ambitions for a Green Crypto Hub
The idea isn't just to mine for digital wealth — it's also to attract global partners. Bhutan is exploring the possibility of selling its sustainably mined cryptocurrency to large corporations looking to improve their ESG (Environmental, Social, and Governance) scores.
With plans to ramp up its hydropower output from 3.5 gigawatts to 15 gigawatts over the next decade, Bhutan sees an opportunity to become a green crypto powerhouse — and maybe even a global leader in sustainable blockchain infrastructure.
"We have plans to generate 15 gigawatts in the next 10 to 15 years," Dahal said.
Analysts note that Bhutan’s ambitious pivot hinges on significantly scaling up its energy capacity, but if successful, the country could transform its natural resources and tech-savvy youth into long-term economic assets.
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