The Singaporean crypto mining firm Bitdeer Technologies has partnered with the Bhutan Kingdom investment arm Druk Holding and Investments (DHI) to establish a digital mining centre. The partners plan to invest in developing a zero-carbon crypto mine in the smallest state in the Himalayas.
An official report from DHI and Bitdeer confirmed that the proposed project will require a capital worth $500 million. The partners stated that the initial capital for the project will be generated through a closed-end funding program.
Scope of DHI Partnership with Bhutan
The team seeks foreign investors and businesses to support their May funding round. In support of this, the Bitdeer chairperson Jihan Wu was delighted to announce the partnership with DHI.
Wu announced that the Bitdeer team would work with the DHI group to support the growth of blockchain and crypto technologies in the region. Additionally, the Chinese crypto mogul confirmed that Bhutan’s clean energy sourced from the old glaciers in the region would be utilized to support crypto mining activities.
The proposed green crypto mining activities aim at establishing a burgeoning centre to support universal store value. Besides examining the proposed carbon-free crypto mine, Wu confirmed that the upcoming fundraising project aims at developing solid networks with international stakeholders.
Wu opined that this social network will support the growth of Bhutan’s information technology sector. In a separate writing, the current chief executive of DHI, Ujjwal Deep Dahal, highlighted the main objective of Bhutan crypto mines.
Overview of Proposed Bhutan’s Digital Mining Data Center
Dahal stated that the efforts made by the Bhutanese authority aims at upholding people’s quality of life. He added that the joint efforts with the forward-thinking team Bitdeer will support Bhutan in attaining a sustainable national economy.
Dahal admitted that the new project would generate measurable revenue to bolster economic development in the region. Besides the economic benefits, Dahal stated that the proposed crypto mining would create more job employment for Bhutanese in technical and support fields.
A scrutiny of the Dahal-led project confirms that the DHI team silently developed an innovative crypto portfolio.DHI crypto-related activities were revealed in the bankruptcy report submitted by the now-defunct crypto lenders Celsius and BlockFi.
The documents revealed that the Bhutan Kingdom invested a substantial amount of Bitcoin (BTC) and Ether (ETC). A report captured in The Bhutanese Newspaper disclosed that the Kingdom has been engaging in “secret” crypto mining activities since 2019.
Suitability of Bhutan Crypto Sector
The newspaper stated that the DHI supported the Bhutan government in investing in crypto mining when Bitcoin was at an early growth stage. The investment was launched when the Bitcoin prices traded around $5000.
It was reported that the revenue generated from the mines was utilized to support hydroelectric energy supplies and the acquisition of hardware tools. In April, the Bitdeer team consulted with the Bhutanese regulators on establishing the Bitcoin mining centre powered by 100 Megawatts of green energy.
The Bitdeer team estimated that the project would take 3 months, from July to September 2023. Before the engagement with the Bhutanese officials, the Bitdeer team established six crypto mining datacenters in US and Norway.
After successfully deploying the largest crypto mining centres, Bitdeer was listed on Nasdaq under the ticker symbol BTDR in April. The attempt to cement its mining position challenged Bitdeer to seek a partnership with a special purpose acquisition company (SPAC).
