In a land where ancient monasteries overlook misty mountains, cryptocurrency is quietly becoming part of everyday life.
During the Binance Crypto-Powered Tour in the Kingdom of Bhutan, Cointelegraph traveled across Bhutan’s capital city of Thimphu and the popular cultural and tourism district of Paro to gauge grassroots interest in crypto.
At Changyul Park and a local four-star hotel, Cointelegraph witnessed firsthand how tourists and locals pay with crypto only months after crypto exchange Binance rolled out crypto payments in the country.
On May 7, Binance Pay partnered with Bhutan’s DK Bank to allow users with Binance accounts to pay for flights, hotels, visas, Sustainable Development Fees and even street‑side snacks using Bitcoin (BTC), BNB (BNB), USDt (USDT) and other crypto assets.
DK Bank president Ugy Gelephuin said almost 1,000 merchants had signed up to accept crypto as part of the program.
Bhutanese citizens are only starting to learn about crypto
While crypto payments are on the rise, much of Bhutan’s economy remains cash-based, local tour guide Kuenley Dorjee told Cointelegraph.
He said that people are only starting to wrap their heads around what crypto really means, but are eager to embrace digital transformation.
“It’s a lot easier to use and the fees are better,” Dorjee said. He praised the adoption of crypto in the country and credited Bhutan’s monarch, King Jigme Khesar Namgyel Wangchuck, for encouraging innovation.
Bhutan’s progressive crypto stance has unfolded under Jigme, the country’s current “Druk Gyalpo,” which literally translates to “Dragon King.” During his reign, Bhutan has implemented state-backed projects like hydro-powered Bitcoin mining and accumulated crypto holdings exceeding 12,000 BTC.
In 2023, local reports revealed that Bhutan had been mining BTC with hydropower since 2019, when Bitcoin’s price was around $5,000. On Jan. 8, Bhutan’s Gelephu Special Administrative Region (SAR), also known as Gelephu Mindfulness City (GMC), revealed plans to set up a strategic crypto reserve.
Related: Bhutan’s DHI to offset halving effects with Bitcoin mining upgrade
Internet instability a crypto adoption roadblock
Despite growing interest, unstable internet connectivity remains a key challenge. Cointelegraph encountered inconsistent WiFi connection speeds in Paro and Thimpu. Other crypto tour participants reported similar experiences.
Local Reddit discussions also highlighted the country’s internet connectivity issues. One Reddit user described the internet connection in Bhutan as “horrendously slow, tedious and requires all the patience in existence.”
With crypto payments requiring stable internet connections, connection issues may lead to disruptions when paying with digital assets.
On a hopeful note, satellite internet provider Starlink launched in the country on Feb. 17, according to the local Bhutan Broadcasting Service. This may address the connection issues, potentially delivering speeds of 100–200 Mbps to the region.
In a roundtable discussion with the media, Ugy Gelephuin said that the advent of Starlink was a blessing for the country, as speed is important with crypto payments. The DK Bank executive said while they’re not quite there yet in terms of infrastructure, the country is on the right track.
Magazine: Chinese Tether laundromat, Bhutan enjoys recent Bitcoin boost: Asia Express
