Bhutan

Bhutan restricts crypto mining and exchange to entities registered within Gelephu Mindfulness City (GMC), per RMA's April 2025 notice. The Gelephu Financial Services Office (GFSO) is the regulator within GMC, operating under the Financial Services Act 2025. On-ramping through RMA-regulated domestic banks remains prohibited. Government-backed Bitcoin mining via Druk Holding & Investments continues. A fast-track licensing pathway for firms already regulated in Singapore, Hong Kong, or ADGM was launched in May 2026.

Overview

StatusRestricted
Risk Score55/100 (High Risk)
Regionsouth asia
CurrencyBTN

Tax Information

Capital Gains (Personal)0% - no capital gains tax
Capital Gains (Corporate)22% CIT for all companies (Income Tax Act 2025, effective January 2026); prior differentiated 25%/30% rates replaced by flat 22%
VAT on CryptoNo
Staking TaxNo personal tax
Airdrop TaxNo personal tax

No crypto-specific tax guidance available.

Licensing & Registration

RequiredYes
RegulatorGFSO (for GMC-based crypto activities); RMA (for rest of Bhutan)
FrameworkFinancial Services Act 2025 (FSA) — GMC/GFSO framework governing all regulated financial and digital asset activities within Gelephu Mindfulness City; RMA April 2025 notice restricts mining/exchange to GMC entities nationally
Easemoderate

Enforcement Activity

Level: Moderate

No detailed enforcement information available

AML / KYC

KYC RequiredYes
Travel RuleNo
FATF MemberNo
FATF Statusnon_compliant
FATF BodyAPG
Suspicious-Activity ReportingNo

DeFi, Stablecoins & NFTs

Status: unregulated

Stablecoins

Status: unregulated

NFTs

Status: unregulated

Mining

LegalYes
Electricity Cost$0.032/kWh
Renewable Energy100%
Infrastructurefair

Bhutan has abundant hydropower resources providing very low-cost, 100% renewable electricity. The government is directly involved in Bitcoin mining via Druk Holding & Investments, supporting mining legality and infrastructure.

Geopolitical Risk

Stabilitystable
SanctionsNo
Corruption Index60/100
Banking Accessmoderate

Risk Factors

Bhutan is politically stable with no international sanctions. Moderate corruption and ease of doing business. Internet freedom is partly free, and banking access for crypto companies is moderate due to conservative financial sector.

Sources

Frequently Asked Questions

Is cryptocurrency legal in Bhutan?

Bhutan restricts crypto mining and exchange to entities registered within Gelephu Mindfulness City (GMC), per RMA's April 2025 notice. The Gelephu Financial Services Office (GFSO) is the regulator within GMC, operating under the Financial Services Act 2025. On-ramping through RMA-regulated domestic banks remains prohibited. Government-backed Bitcoin mining via Druk Holding & Investments continues. A fast-track licensing pathway for firms already regulated in Singapore, Hong Kong, or ADGM was lau

What is the FATF status of Bhutan?

Bhutan is classified by FATF as: non_compliant.

Are VASPs licensed in Bhutan?

Yes, licensing is required for VASPs.

What is the AML/KYC regime in Bhutan?

KYC is mandatory for crypto businesses.

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Last reviewed: 2026-06-01 · Data source: Soken Crypto Legal Map

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