In a notable Bitcoin update, Gelephu Mindfulness City (GMC)—Bhutan’s southern special administrative zone—has appointed Toronto-based 3iQ Corp. as the first institutional manager for part of its Bitcoin reserves. The move turns what was previously a government-driven accumulation effort into a formal mandate managed by an external firm.

The announcement, made on July 30, 2026, represents the first clear step toward putting these assets to work since Bhutan disclosed in December 2025 that up to 10,000 BTC would be set aside from national holdings to support GMC’s long-term development.

3iQ has been granted discretionary control over a portion of the reserves, though key details—such as the size of the allocation, custody setup, investment strategies, and fee terms—have not been revealed. This limited disclosure is unusual for a sovereign-linked mandate, where markets typically expect greater transparency.

Bitcoin News: Scope of the Mandate
Beyond portfolio management, 3iQ’s responsibilities include building local expertise, transferring knowledge, and setting up a permanent presence in Gelephu. The firm is being positioned as a founding institutional partner in GMC’s push to become a digital offshore financial hub.

CEO Pascal St-Jean said the company aims to deploy Bhutan’s capital in a responsible, transparent, and long-term manner.

GMC board director Jigdrel Singay highlighted that 3iQ’s commitment to developing local capabilities played a decisive role in its selection, alongside its experience in digital assets. The appointment reflects a broader strategy of combining sovereign capital with external institutional expertise rather than managing reserves entirely in-house.

3iQ operates under Coincheck Group N.V., a Netherlands-based holding company listed on NASDAQ. Founded in Toronto in 2012, the firm became Canada’s first regulated digital asset fund manager and was an early mover in launching Bitcoin and Ethereum exchange-traded products on major global exchanges. The GMC mandate marks its entry into sovereign and quasi-sovereign asset management.

Bhutan’s Bitcoin Strategy and GMC Development
Bhutan accumulated its Bitcoin reserves mainly through hydropower-powered mining, overseen by its sovereign investment arm, Druk Holding and Investments (DHI).

According to Arkham Intelligence, the country’s holdings have declined from roughly 13,390 BTC in October 2024 to about 5,600 BTC by mid-2026. More than $237 million has been transferred out of reserve wallets this year, likely to fund infrastructure projects, including the development of GMC.

The partnership with 3iQ signals the next phase in deploying Bitcoin allocated to Gelephu, suggesting that a portion of the assets will be retained and actively managed rather than fully sold off.

This marks a strategic shift: Bhutan is balancing partial liquidation with professional asset management, moving from simple accumulation toward a more active portfolio approach.

At the same time, GMC is developing a regulatory framework to attract global firms. Reports indicate the zone offers fast-track licensing for companies already regulated in major financial centers, zero corporate tax in certain sectors, and banking access via DK Bank.

The appointment of 3iQ is seen as the first in a series of milestones as GMC works to position itself as a competitive offshore digital financial hub—leveraging its unique base of sovereign-mined Bitcoin as core capital.