Bhutan Appoints Canada's 3iQ to Manage Part of Its 10,000 Bitcoin Reserve for Gelephu Mindfulness City

Bhutan Hands Part of Its Bitcoin Reserve to 3iQ as Gelephu Digital Finance Vision Takes Shape

Bhutan has chosen Canadian digital asset investment firm 3iQ Corp. to manage part of the Bitcoin reserve allocated to Gelephu Mindfulness City (GMC), bringing the country's long-term digital finance plans into action.

The partnership will see 3iQ oversee a Bitcoin-backed mandate while supporting the development of GMC as a regulated international financial hub focused on digital assets.

The appointment is linked to Bhutan's wider ambition to develop Gelephu Mindfulness City, a 21-year urban project on the country's southern border with India.

Operating as a Special Administrative Region, GMC aims to attract global businesses while promoting mindfulness, sustainability and innovation.

How Will Bhutan's Bitcoin Reserve Be Managed

King Jigme Khesar Namgyel Wangchuck committed up to 10,000 Bitcoin from Bhutan's national holdings to support GMC in December 2025.

Based on current prices, the allocation is worth about $628 million.

GMC has not disclosed how much of the reserve will be managed by 3iQ.

However, the city confirmed the mandate will focus on generating long-term returns through a low-risk, market-neutral investment strategy instead of simply holding the Bitcoin.

Such strategies can include lending or basis trading and typically generate annual yields of at least 5% under normal market conditions.

When the Bitcoin allocation was first announced, GMC said several options were still being considered, including using the reserve as collateral, deploying treasury strategies or holding the assets over the long term.

3iQ Selected As Founding Institutional Partner

According to GMC, c was selected because of its institutional expertise and experience in digital asset management.

Beyond managing part of the reserve, the Toronto-based company will establish a long-term presence in Gelephu and help develop local talent as the city builds its digital finance ecosystem.

Pascal St-Jean, Director and Chief Executive Officer of 3iQ, said,

"GMC's ambition for Gelephu is bold and forward-thinking, and we're proud to bring our institutional discipline and global track record to help realize it, putting Bhutan's capital to work responsibly, transparently and for the long term."

He added,

"To be entrusted by GMC in this capacity is a significant responsibility, and one we take seriously…From the very inception we were aligned with GMC's vision to create a next-generation economic hub that attracts global talent while being committed to Bhutan's cultural values and environmental principles."

Jigdrel Singay, a board director of GMC, described the partnership as "an important first step" in building the city's "next-generation institutional digital asset management hub."

He also said,

"We are delighted to welcome 3iQ as one of our founding institutional partners, helping to lay the foundations for a world-class fund ecosystem in GMC. Beyond their institutional expertise and global track record in digital asset management, what stood out to us was their genuine commitment to investing in people, transferring knowledge and building local capabilities."

Questions Remain Over The Selection Process

Neither GMC nor 3iQ disclosed whether the mandate was awarded through a competitive selection process.

Their joint announcement referred to 3iQ as a "founding institutional partner" but did not mention a public tender.

GMC has previously entered similar strategic partnerships without revealing how partners were selected.

These include a memorandum of understanding signed with US market maker Cumberland DRW in December 2025 covering digital asset infrastructure and stablecoin initiatives, as well as a February agreement with blockchain analytics company Nansen.

Both organisations did not immediately respond to questions about how 3iQ was selected or how the new mandate fits alongside those earlier partnerships.

Bhutan Remains One Of The Largest Sovereign Bitcoin Holders

Bhutan continues to rank among the world's largest sovereign Bitcoin holders despite changes in its reported holdings.

According to Arkham Intelligence, Druk Holding & Investments (DHI), Bhutan's sovereign wealth fund, held about 13,000 Bitcoin at its peak in October 2024.

Arkham-labelled wallets linked to DHI have since fallen to around 3,100 Bitcoin, worth approximately $197 million as of mid-May 2026.

While Arkham interprets the decline as asset sales, DHI has publicly denied selling its holdings.

With a population of around 802,000, Bhutan remains one of the top 10 sovereign holders of Bitcoin, using part of its national reserve to support the long-term development of Gelephu Mindfulness City.