Bhutan occupies an unusual position in the global digital asset economy. The Kingdom is one of the largest sovereign holders of Bitcoin relative to the size of its economy, it mines using surplus hydropower rather than fossil fuels, and it has chosen a controlled framework for crypto instead of a blanket prohibition. For founders and institutional investors, that combination produces real opportunity alongside firm regulatory boundaries. The Royal Monetary Authority of Bhutan regulates digital assets through a phased and focused approach. Crypto mining and exchange activity are permitted only for entities registered within Gelephu Mindfulness City, the Kingdom's Special Administrative Region, while on-ramping through domestic banks and retail trading by the public remain restricted, and crypto is treated as an asset rather than legal tender. Anti-money laundering and counter-terrorist-financing obligations apply to any regulated activity. Anyone planning a token launch, exchange, custody service, mining operation or treasury function needs to understand exactly where the GMC framework permits activity and where the national framework does not.

Basnet Attorneys & Law advises on entity selection and licensing under the GMC framework, engagement with the RMA, AML and CFT policy design, token classification, platform and smart contract terms, and cross-border structuring for foreign founders. We draw on dedicated cryptocurrency compliance and advisory and blockchain and cryptocurrency consulting capability, act for digital asset clients from many countries, and build each venture on a defensible legal base from the outset.