Bhutan’s Bitcoin Reserves Reach 40% of GDP, Signaling Major Shift in National Financial Strategy

Bhutan has made a bold move by significantly increasing its holdings of Bitcoin. The nation’s reserves now represent nearly 40% of its GDP, reaching $1.3 billion according to recent reports. This substantial Bitcoin reserve is a testament to Bhutan’s strategic decision to incorporate cryptocurrency into its national financial strategy. The government has invested heavily in Bitcoin through Druk Holding & Investments, under the Royal Family’s direction. Prime Minister Tshering Tobgay stated that these financial decisions were made to boost salaries for civil servants, emphasizing the immediate impact of this investment on public finances. Bhutan is now prioritizing Bitcoin as a key element of its economic development strategy, reducing reliance on traditional monetary resources. This shift in approach has already led to increased stability within the country’s fiscal system, thanks to the funding from Bitcoin sales used to double civil servant salaries. The nation’s commitment to Bitcoin is driving an important change in financial policy that will likely have a lasting impact on regional economic strategies and could even influence the broader adoption of digital currencies by other governments.