Bitcoin is seen favorably in the Kingdom of Bhutan. The tiny Himalayan kingdom started mining Bitcoin after discovering that it had secretly hoarded the cryptocurrency. The Bitcoin mining operations in the country of less than 800,000 inhabitants are powered by renewable energy.
Bhutan is well-known for its pursuit of “Gross National Happiness” and its stunning natural scenery; it is also home to a thriving hydroelectric industry contributing 30% to GDP.
After queries from Forbes, prompted by an exposé in local Bhutanese media, government officials acknowledged that mining had begun in April 2019, when Bitcoin was trading for roughly $5,000. Until this writing, the price of a single Bitcoin had risen to almost $28,000.
According to reports, the Kingdom has considered forming partnerships to grow its mining industry.
Of note, discussions are underway to get 100 MW of power for a Bitcoin mining data center in Bhutan from Nasdaq-listed mining startup Bitdeer. The mining capability of Bitdeer would rise by around 12% due to this collaboration.
Little is known about the location, size, or profitability of Bhutan’s mining farms, so the true scope of the country’s mining operations is still being determined.
LinkedIn profiles of certain workers at Druk Holdings and Investments (DHI) claim “crypto mining” among their duties and expertise.
The government’s decision to keep the project secret from its citizenry and international partners is mysterious. It is public knowledge, however, that millions of money managed on behalf of the public have been invested in cryptocurrencies by the state-owned holding corporation DHI.
Despite what the mainstream media would have you believe, bitcoin mining is the cleanest industry in the world. More than half of its energy comes from renewable or clean sources.
In their defense of Bitcoin mining, proponents like MicroStrategy’s chairman Michael Saylor point out that “99.92% of carbon emissions in the world are due to industrial uses of energy other than Bitcoin mining.”
DHI found that Bitcoin mining in Bhutan is profitable due to the country’s access to cheap and plentiful hydroelectric power.
Hydropower is one of the cheapest sustainable energy sources, and now Bhutan joins a long list of regions from East Africa to Scandinavia mining Bitcoin with hydropower.
