Bhutan Backs Bitcoin-Powered Smart City Initiative
Bhutan is making a bold move by putting Bitcoin at the heart of its future plans. The country has committed up to 10,000 BTC—worth around $1 billion—to help build Gelephu Mindfulness City (GMC), a new special zone in southern Bhutan aimed at boosting jobs and prosperity. This city will operate as a Special Administrative Region (SAR), designed to attract global investment while staying true to Bhutan’s cultural values.
King Jigme Khesar Namgyel Wangchuck announced this during his National Day speech, calling it a long-term investment for Bhutan’s youth and economy. Instead of selling its Bitcoin, Bhutan will use creative financing methods like lending and yield strategies to fund the project while keeping its crypto reserves safe. Officials promise full transparency and will release more details soon.
Bhutan’s ability to back this big Bitcoin investment comes from its unique way of mining crypto. Since 2021, the country has used extra hydroelectric power from Himalayan rivers to mine over 13,000 BTC. This eco-friendly approach turns unused electricity into valuable digital assets with no extra environmental harm. With more than 11,286 BTC still in its reserves—worth about $1.28 billion—Bhutan is now one of the top five government holders of Bitcoin worldwide. In fact, this strategy contributes to over 25% of the country’s GDP, making it a key part of Bhutan’s economy.
To support this vision, Bhutan created Green Digital Ltd, a company focused on expanding blockchain infrastructure. Green Digital has partnered with firms like Cumberland DRW to develop tools for digital asset trading, scale sustainable Bitcoin mining, build AI computing centers, and explore a national stablecoin. These steps are designed to build a strong digital economy around Bitcoin and blockchain technology.
Bhutan is also modernizing its digital systems. In October, it moved its national digital ID system—which covers 800,000 citizens—from Polygon to Ethereum. This upgrade supports secure digital credentials and signing capabilities. The country is also embracing crypto payments in tourism. Since May, local merchants have accepted over 100 cryptocurrencies through DK Bank and Binance Pay. On top of that, Bhutan recently launched TER, a gold-backed digital token.
Gelephu Mindfulness City aims to become an economic and innovation hub while spreading benefits across the population. Most of the land is still state-owned, so the government plans to share profits fairly among citizens. The King emphasized that every Bhutanese should have a stake in this project.
As of now, Bitcoin is trading around $87,274, with exchange reserves hitting record lows. Global interest in crypto is rising fast—over $87 billion has flowed into crypto exchange-traded products (ETPs) since January 2024. Analysts from Bitwise and Grayscale expect even higher Bitcoin prices by 2026 as adoption continues to grow worldwide.
Key takeaways:
– Bhutan is using up to 10,000 BTC to fund Gelephu Mindfulness City.
– The country mines Bitcoin using eco-friendly hydropower.
– Bhutan holds over 11,000 BTC, one of the largest government reserves.
– It’s building out blockchain infrastructure with global partners.
– Digital ID has moved to Ethereum; tourism now accepts crypto payments.
– TER, a gold-backed token, has been launched.
– Bitcoin adoption continues to grow globally, with strong investment inflows in 2024.
Bitcoin Struggles as Bearish Signals Persist Midweek
Despite a rough start to the week, the crypto market is showing some signs of life as major coins like Bitcoin (BTC), Ethereum (ETH), and XRP move into positive territory on Wednesday. While prices are still weak overall, there may be a short-term bounce in play.
Bitcoin is currently trading above $87,000, but it’s still facing downward pressure. Analysts are warning that more losses could be ahead in the coming days. One market expert pointed out that Bitcoin’s recent dip to around $86,000 puts it dangerously close to its 100-week moving average, which sits at about $84,800 — a key support level. Concerns about AI market bubbles and uncertain monetary policies are continuing to weigh heavily on investor sentiment.
Looking at the technical charts, Bitcoin is still in a bearish pattern. After facing rejection last Friday, BTC has dropped around 7% and retested the $85,569 support level on Monday. That support held for now, helping Bitcoin rebound slightly to $87,500 by midweek.
However, if Bitcoin falls below the $85,569 mark and closes the day lower, we could see a drop toward the critical psychological level of $80,000.
Technical indicators are also flashing warning signs. The Relative Strength Index (RSI) on the 4-hour chart is at 38, which is below the neutral level of 50, suggesting that sellers are in control. Additionally, the MACD (Moving Average Convergence Divergence) lines have started to converge, which typically signals increasing bearish momentum.
In summary, while there’s been a slight midweek recovery in Bitcoin and other top cryptocurrencies, the overall trend remains weak. Traders and investors should watch key support levels closely and prepare for potential further declines.
AI and Crypto Set Stage for 2026 Market Surge
The crypto market may be quietly setting the stage for its next big surge, even though prices appear to be cooling off right now.
Coinbase, a major crypto exchange, has released a new report suggesting that artificial intelligence (AI) is starting to boost economic productivity in ways that traditional economic data doesn’t yet show. According to the report, these hidden gains could become more visible by 2026 — and crypto could be one of the biggest winners when that happens.
In 2025, the total crypto market cap rose to about $4.2 trillion but then dropped back to around $3 trillion. Bitcoin still holds most of that value, and this pullback has made many believe the market already peaked. But Coinbase sees it differently. They believe this was just an early rally driven by excess cash in the system — not the full impact of AI yet.
From their perspective, what we’re seeing now is not the end of a cycle, but more like a pause before the next wave. They say AI is already improving how people work — speeding up tasks, reducing development time, and helping workers be more productive. But this progress isn’t being captured in standard job or GDP numbers yet.
That means the real economic changes are happening behind the scenes. Once those changes show up in official data, likely in 2026, markets could quickly reprice risk assets like crypto.
One big shift is already happening with institutional investors. Digital Asset Treasuries (DATs) — basically big organizations holding crypto on their balance sheets — have been ramping up their activity. In 2025 alone, they spent billions on crypto, mostly Bitcoin, but also Ethereum and Solana. Unlike past cycles driven by short-term traders, DATs are here for the long haul, treating crypto as a strategic asset.
This signals a change in mindset. Institutions are no longer just buying tokens to sell later at higher prices. Instead, they’re positioning themselves to own and manage valuable block space — a key part of blockchain networks.
Coinbase expects these DATs to evolve further. In the future, they’ll focus more on acquiring block space, using secure storage solutions, and building smart trading strategies that match their risk tolerance. This will depend heavily on clear regulations, which are starting to take shape — especially in the U.S.
Tokenized assets are also gaining ground as collateral in traditional finance. Stablecoins are now being used in faster and safer payment systems, helping reduce risk and free up capital. Meanwhile, regulated DeFi platforms are offering ways to earn yield while staying compliant with rules. This shows that institutional adoption is not just growing in size but also expanding into new areas.
Even though crypto tokens tied to AI have dropped in value since their peak in 2024, Coinbase says it’s not a sign of failure. Development and investment in AI-blockchain projects are still going strong. One exciting area is AI agents that automate blockchain tasks. These tools could make it much easier to launch crypto-based businesses — even for people without coding skills.
Looking ahead to 2026, Coinbase is cautiously optimistic. They don’t expect a wild bull market like in past years. Instead, they see a steadier rise built on real progress — like higher productivity from AI, demographic trends, and stronger crypto infrastructure for institutions.
So while prices dipped from 2025’s highs, it may not be the end of the story. It could just be a reset before the market catches up with the quiet but powerful changes happening underneath — powered by AI and digital assets working together.
Crypto’s Future: Quietly Powering Everyday Tech
**Crypto Isn’t Dying—It’s Just Blending Into the Background**
Many people think crypto is fading away—but that’s not really true. According to venture capitalist Dougie DeLuca, crypto isn’t dying as a technology. It’s just shifting from being its own niche world to becoming a quiet part of everyday systems like payments, fintech, and AI.
### What’s Changing in Crypto?
DeLuca shared on social media that the crypto space has become like a closed loop. Airdrops, token rewards, and point systems often just circle around the same group of users. While these tactics create buzz, they don’t bring in long-term users or real growth.
He compared today’s crypto landscape to an online game or casino—fun and sometimes profitable, but limited in scale.
The key message: crypto won’t disappear, but it will “dissolve” into other industries. As it becomes part of regular apps and platforms, the term “crypto startup” may no longer make sense.
### Why This Matters
The old way of growing in crypto—using giveaways and incentives—doesn’t work long-term. These methods bring short bursts of attention but don’t lead to loyal users.
As crypto projects try to reach regular users outside the crypto world, they run into tough challenges like government rules, identity checks (KYC), trust issues, and how to distribute their products.
DeLuca believes crypto’s future is in becoming the invisible “backend” of digital life:
– **Infrastructure:** Blockchains will power things like payments, digital identity, ownership records, and settlements—quietly running in the background.
– **Products:** Apps will use blockchain tech but hide the complexity. Users won’t need to know they’re using crypto; they’ll just enjoy better speed, lower costs, and smoother experiences.
– **Speculation:** Trading and investing in crypto won’t go away, but it won’t be the core focus anymore.
In short, crypto’s transformation might feel like an ending—but it’s actually a sign of maturity. Just like the internet and cloud computing became everyday tools, crypto is following the same path: becoming essential, widespread, and mostly invisible.
### Related Topics
– Bitcoin and Ethereum facing pressure from ETF outflows
– Crypto adoption through fintech integration
– Blockchain as the future of digital infrastructure
Keywords: crypto adoption, blockchain technology, fintech integration, crypto infrastructure, decentralized finance, Web3, airdrops, KYC compliance, crypto future, digital payments
Crypto Market Shifts: New Strategies Amid Volatility
The crypto market has recently taken a big hit, especially in the most popular and hyped-up areas. This has made many investors more careful. At the same time, it’s giving a push to new investment strategies that focus on managing risk more actively.
In just a few years, the number of ways to invest in crypto has grown rapidly. Investors can now buy cryptocurrencies directly, invest in spot Bitcoin ETFs, use options and futures, or put money into companies involved in mining, exchanges, or crypto infrastructure.
But with all these choices, results vary a lot. Some investments have been hurt by things like using too much borrowed money (leverage), high prices, or funding issues.
John D’Agostino from Coinbase Institutional said that Bitcoin investment tools have expanded fast for both regular and big investors. However, he pointed out that how people use leverage and manage risk really matters.
**Overpaying for Bitcoin**
Bitcoin dropped as much as 36% from its high of $126,223 on October 6 and is still down about 30%. Companies that hold a lot of Bitcoin on their balance sheets, like Strategy Inc., got hit even harder.
These companies often borrow money or sell stock to buy more Bitcoin. In the past, their share prices were higher than the value of the Bitcoin they owned — and investors thought that would always continue. But when Bitcoin prices fell, their stock prices crashed even more.
Strategy Inc.’s stock has dropped 54% since Bitcoin’s October high and is down 63% from mid-July. Japan’s Metaplanet and other similar companies also suffered large losses.
Lyn Alden, founder of an investment strategy firm, said this was like a small bubble that popped. Now, investors are more careful about overpaying for these types of stocks.
**Crypto Miners Are Changing Course**
Bitcoin mining companies like IREN, CleanSpark, Riot, and MARA were once investor favorites. They had cheap electricity deals and made big profits. Now, many are shifting to building AI data centers to serve tech companies.
These stocks were strong performers earlier because they were involved in both crypto and AI — two of the hottest trends in tech. But some investors are now worried about these companies’ profits since they carry a lot of debt and need constant funding to make the switch.
Matthew Sigel from VanEck Onchain Economy ETF said that when the economic environment changed a bit, these mining stocks took a hit.
**Energy Is a Big Piece of the Puzzle**
In the coming years, crypto mining and AI are expected to work more closely together. Crypto infrastructure could help solve a growing energy shortage for U.S. data centers.
Morgan Stanley estimates there will be a 47-gigawatt power shortage in U.S. data centers by 2028. But if crypto miners are converted into AI data centers, they could cover 10 to 15 gigawatts of that need.
Brian Dobson at Clear Street said that if you want a company exposed to both crypto and AI growth stories, look at crypto miners — they’re sitting at the center of this trend.
**New Investment Strategies Are Gaining Ground**
Some companies believe the best way to deal with market ups and downs is through actively managed or hedged investment strategies.
The VanEck Onchain Economy ETF, which launched in May, has gained 32% by avoiding risky, over-leveraged companies. Sigel believes that active management is key because crypto is still a young and unpredictable asset class.
Another example is EMJ Crypto Technologies (EMJX), run by activist investor Eric Jackson. EMJX offers an actively hedged treasury that holds Bitcoin, Ethereum, and other top cryptocurrencies. It also makes money by selling options rather than taking on debt or issuing more stock.
EMJX recently went live after SRx Health Solutions announced it would acquire the company. The combined company will trade under the ticker EMJX starting in early 2026.
**Bitcoin Remains Strong**
Despite all the market noise, Bitcoin remains the leader in the digital currency world. Institutional investors are backing it heavily.
Harvard University’s endowment now holds BlackRock’s iShares Bitcoin Trust as its biggest public stock position. Sovereign wealth funds from Luxembourg, Abu Dhabi, and the Czech Republic are also investing in Bitcoin.
Crypto miners also prefer Bitcoin as their main currency.
With more investment options now available — like ETFs, regulated exchanges, and safer storage — experts like Coinbase’s D’Agostino believe the crypto market is becoming more like traditional markets such as stocks or commodities.
He says if you’re comfortable investing in gold, real estate, or art but still afraid of crypto, you might just need better information.