Cryptocurrency goes mainstream: Bhutan’s national tourism payment system officially launched

The Kingdom of Bhutan recently announced a partnership with Binance Pay and DK Bank to launch the world's first national tourism crypto payment system, marking an important step for the country in the digital economy.

Crypto payments help the development of tourism

According to an announcement released by Binance, the system allows tourists to pay for tickets, hotel accommodation, tour guide services, and more with more than 100 cryptocurrencies including Bitcoin (BTC), USDC, and Binance Coin (BNB). Tourists can complete the payment by simply scanning the QR code through the Binance app without carrying local currency or cash.

"This is not just a payment solution, but a commitment to innovation, inclusion, and convenience," said Damcho Rinzin, Director of the Bhutan Tourism Board. The system particularly benefits small businesses in remote areas, such as rural artisans and vendors, enabling them to accept crypto payments through their mobile phones and expand the international tourist market.

Innovation in national crypto payment systems

Both Binance Pay and the Bhutan Tourism Board called the project "the world's first national crypto tourism payment system." The system is settled by DK Bank, a local licensed bank, and has advantages such as real-time confirmation and almost zero handling fees, which solves many limitations of traditional payment methods.

Richard Teng, CEO of Binance, said: "This move not only promotes the development of crypto payments in the tourism sector, but also sets an example for how technology can connect different cultures and economies."

Bhutan's Crypto Strategy

Bhutan's launch of a crypto payment system is consistent with its broader digital asset strategy. The country began mining and investing in Bitcoin in 2019, using its abundant hydropower resources to achieve sustainable cryptocurrency mining. As of October 2024, the Bhutanese government held approximately 12,456 Bitcoins through Druk Holding and Investments (DHI), worth approximately US$886 million, accounting for nearly 30% of the country's GDP.

In addition, Bhutan has established a special administrative region called "Mindfulness City" in the Gelephu region, and plans to include Bitcoin, Ethereum (ETH) and Binance Coin (BNB) in its strategic reserves, aiming to enhance economic resilience and attract foreign investment.

Looking Ahead

Bhutan has demonstrated its forward-thinking approach to the digital economy by integrating a cryptocurrency payment system and strategic reserves. This move not only improves payment convenience for tourists, but also brings new business opportunities to local businesses, further promoting the diversification of the country's economy.

As global acceptance of cryptocurrency increases, Bhutan's innovative model may provide useful reference for other countries, especially in terms of sustainable cryptocurrency mining and the development of the digital economy using renewable energy.