Bhutan's Gelephu Mindfulness City tapped Toronto-based 3iQ Corp. to manage part of its Bitcoin treasury, a first for sovereign-state digital asset mandates.
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3iQ named manager for Bhutan's Bitcoin reserves after 10,000 BTC pledge
Toronto-based 3iQ Corp. won a mandate to manage part of Bhutan's Bitcoin reserves for Gelephu Mindfulness City, the firms announced July 30.
"To be entrusted by GMC in this capacity is a significant responsibility, and one we take seriously," Pascal St-Jean, CEO 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 realise it."
The mandate follows Bhutan's December 2025 pledge of up to 10,000 Bitcoin — worth roughly $1 billion at the time — to fund GMC's development. The size of the mandate was not disclosed. GMC said it selected 3iQ to generate long-term returns through a low-risk, market-neutral approach, meaning the reserve will be deployed for yield rather than simply held. Such strategies typically yield at least 5 percent annually.
The agreement positions GMC as an emerging digital offshore financial hub, with 3iQ committing to invest in local talent, transfer institutional knowledge and establish a permanent office in Gelephu. Additional milestones are expected over the coming months as the city's digital asset strategy develops.
Bhutan's shrinking stack and the on-chain question
Bhutan's Bitcoin reserves were accumulated primarily through hydropower-backed mining and managed by Druk Holding and Investments, the kingdom's sovereign investment arm. Arkham Intelligence data shows holdings fell from roughly 13,390 BTC in October 2024 to an estimated 5,600 BTC by mid-2026, with more than $237 million moved out of reserve addresses since January.
CoinDesk reported in May that Ujjwal Deep Dahal, CEO of Druk Holdings, said he did not recall the last time the company sold any bitcoin, disputing onchain data showing roughly $1 billion had left wallets attributed to it. Neither GMC nor 3iQ has said where the bitcoin under management comes from.
Building a digital asset hub
GMC has been constructing the regulatory infrastructure to attract additional operators. The zone introduced a fast-track licensing route for firms already regulated in Singapore, Hong Kong and Abu Dhabi, offers zero corporate tax in selected sectors, and provides banking access through DK Bank.
3iQ, founded in Toronto in 2012, was Canada's first regulated digital asset fund manager and launched some of the world's first regulated Bitcoin and Ethereum exchange-traded products. It is a subsidiary of Coincheck Group N.V. (NASDAQ: CNCK).
Jigdrel Singay, board director at GMC, said the partnership marks "an important first step in building GMC's next-generation institutional digital asset management hub."
Bitcoin traded at $64,071 as of Aug. 4, up 0.5 percent over 24 hours, according to CoinDesk data. The agreement reinforces the growing role of sovereign entities in Bitcoin as a strategic reserve asset. For 3iQ, the mandate expands its client profile into sovereign and quasi-sovereign territory, while for Bhutan it represents a shift from pure accumulation toward active portfolio deployment of its digital assets.
This article is for informational purposes only and does not constitute investment advice.
