Bhutan’s Gelephu Mindfulness City has received royal approval to establish an autonomous central bank with authority to invest in cryptocurrencies alongside traditional reserve assets. According to a Nov. 2 announcement, King Jigme Khesar Namgyel Wangchuck signed a Royal Decree granting comprehensive central banking powers to the Gelephu Financial Services Office, which will transition into the Gelephu Central Bank.
The mandate includes supervision of financial institutions, monetary policy, foreign reserve management, and financial stability within the special administrative region. It also covers investments in digital assets and cryptocurrencies, payment and settlement systems, liquidity support, and the development of money and capital markets. The framework creates a pathway for GMC to introduce its own currency, including a digital version, subject to the King’s concurrence.
Gelephu Mindfulness City, established by Royal Charter in February 2024, operates under a "One Country, Two Systems" framework across more than 4,046 square kilometers in southern Bhutan. Its financial regulator already oversees virtual asset businesses. The approval has been highlighted by market commentators as making Bhutan the third central bank authorized to own cryptocurrency, following Kazakhstan and the Czech Republic. Reports also referenced a $1 million pilot program and noted that a full allocation remains under study.
The central bank authority builds on earlier crypto reserve plans. In January 2025, GMC named Bitcoin, Ether and BNB among assets it intended to recognize as strategic reserves, prioritizing large market capitalizations, sufficient liquidity, and mature, secure blockchains. In December 2025, Bhutan announced a Bitcoin Development Pledge committing up to 10,000 BTC to support GMC’s long-term development, backed by hydroelectric-powered mining operations. In July, GMC appointed Canadian digital asset manager 3iQ to oversee a mandate backed by an undisclosed portion of its Bitcoin treasury. 3iQ, majority-owned by Nasdaq-listed Coincheck Group, said its obligation was to protect the assets and help accumulate more Bitcoin for the project.
The development signals growing recognition of digital assets among monetary authorities and may influence future regulatory approaches, institutional participation, and adoption trends across the crypto market.
