The Himalayan kingdom eyes younger, tech-savvy travellers with digital payments push

Bhutan is making a bold move to modernise its tourism sector by integrating cryptocurrency into its national payment system. The country, long admired for its serene landscapes and mindful tourism policies, is now eyeing digital innovation to attract a new wave of global travellers, especially the young and tech-savvy.

During Binance’s “Crypto-Powered Tour” in Bhutan, government officials and banking leaders discussed how embracing crypto could revolutionise the nation’s economy and enhance the travel experience for visitors.

Addressing payment challenges with digital solutions

Damcho Rinzin, director of Bhutan’s Department of Tourism, admitted that outdated payment infrastructure has been a persistent issue for the country’s tourism industry. “Tourists have called bank wire transfers a thing of the past,” Rinzin said during the panel discussion. He believes the solution lies in adopting faster, frictionless systems like cryptocurrency.

On 7 May, crypto exchange Binance announced a partnership with local financial institution DK Bank to enable crypto payments via Binance Pay. DK Bank’s president, Ugyen Tenzin, revealed that nearly 1,000 merchants across Bhutan have already signed up to accept crypto payments, a significant step toward nationwide adoption.

Rinzin noted that integrating crypto not only improves convenience but also sends a strong message to the world: Bhutan is open and ready for the future.

Reaching a new generation of travellers

Officials say that introducing cryptocurrency into Bhutan’s economy is not merely a technological upgrade but also a strategic branding move. “This sends a very strong message that Bhutan is very welcoming,” Rinzin said. “It shows we are ready for a different kind of tourist.”

The Department of Tourism is now targeting younger, future-focused travellers who are familiar with blockchain technology and prefer using crypto for daily transactions. Rinzin stated that the goal is to attract around 300,000 such users annually. With Binance’s vast user base, even a small share of crypto-using tourists could make a significant economic impact.

Carissa Nimah, the department’s chief marketing officer, echoed this sentiment. She described Bhutan as both “traditional and authentic,” yet “focused and visionary.” For her, embracing digital currencies fits naturally into the kingdom’s evolving identity and broader goals.

Boosting inclusion and reducing transaction costs

One of the key advantages of cryptocurrency, according to Rinzin, is its efficiency. He highlighted the near-instant payment processing and low transaction fees that come with using digital assets — particularly compared to conventional banking systems.

“Digital inclusion is going to do wonders for people not only in the tourism industry in Bhutan,” Rinzin said. He added that other sectors of the economy could also benefit from modernising their financial infrastructure.

By simplifying how payments are made and received, Bhutan hopes to empower local businesses, improve transparency, and reduce the burden of traditional banking costs on both tourists and residents.

Part of a broader development vision

The push for crypto adoption is also aligned with Bhutan’s long-term developmental plans, especially the ambitious Gelephu Mindfulness City project. According to Nimah, digital payments and decentralised technologies will likely play a significant role in shaping that city and other future-focused initiatives in the kingdom.

“This partnership opens up Bhutan to a new category of traveller — people who want to explore the world using crypto,” she said during a media roundtable.

Bhutan’s leaders see cryptocurrency not just as a convenience, but as a symbol of the country’s progressive approach to development while still maintaining its unique cultural identity.

Adoption still faces hurdles

Despite the enthusiasm from officials and financial partners, crypto use on the ground remains limited. Several local merchants who have adopted the system said they are yet to see a substantial number of customers using digital currency to pay for services or products.

A local tour guide advised visitors not to rely solely on crypto when travelling in Bhutan. “A mix of crypto, cash and credit cards is still the safest way to explore the country,” he said.

While the initial rollout shows promise, it’s clear that widespread adoption will take time. Education, awareness, and gradual cultural shifts will be crucial to making crypto a mainstream payment option in the country.

Nonetheless, Bhutan’s early steps into crypto tourism could position it as a pioneer in blending tradition with innovation — a compelling prospect for a nation often regarded as the world’s last Shangri-La.