BJP Leader Urges India to Build Strategic Bitcoin Reserve as Global Crypto Adoption Grows
Pradeep Bhandari, a national spokesperson for India’s ruling Bharatiya Janata Party (BJP), has publicly urged the government to consider creating a Strategic Bitcoin Reserve, arguing that the global landscape around digital assets has shifted decisively.
“This isn’t a reckless pivot,” Bhandari said in a statement, “it’s a calculated step toward embracing digital assets’ legitimacy.”
His comments come amid rising global momentum for sovereign Bitcoin adoption, with the United States and Bhutan advancing their own crypto strategies—moves that may signal a new era in reserve management.
United States: Bitcoin on the Balance Sheet
In January, the U.S. federal government began integrating Bitcoin into its sovereign reserves by retaining over 200,000 BTC—valued at more than $20 billion—originally seized in criminal investigations. According to details from the White House’s 2025 Crypto Summit, the plan includes expanding Bitcoin holdings through budget-neutral mechanisms that avoid placing the cost on taxpayers.
Currently, three U.S. states—Wyoming, Texas, and Florida—allow treasuries to hold Bitcoin. Several more are drafting legislation to follow suit.
“When the world’s largest economy starts treating Bitcoin as a sovereign asset, it sends a powerful geopolitical signal,” Bhandari said.
Bhutan: A Quiet Bitcoin Powerhouse
Nearby, the Himalayan kingdom of Bhutan has built a billion-dollar Bitcoin reserve by leveraging its surplus hydroelectric power. Since at least 2019, the government has quietly mined Bitcoin using green energy. As of mid-2025, Bhutan reportedly holds between 13,000 and 13,300 BTC, worth over $1 billion—a substantial portion of the country’s GDP.
Prime Minister Tshering Tobgay confirmed in April that Bhutan uses crypto profits to fund public salaries, healthcare, and green development projects.
“We have used Bitcoin to provide free healthcare and support environmental efforts,” Tobgay told Al Jazeera. “The most important use has been to finance the salaries of public servants.”
Bhandari highlighted Bhutan as a scalable model for India, noting that the subcontinent’s renewable energy capacity—especially in solar and wind—is vastly superior.
India’s Crypto Crossroads
India has made international strides in crypto dialogue, particularly during its 2023 G20 presidency, yet its domestic regulation remains patchy. Cryptocurrencies are taxed at 30%, but there is no regulatory framework for exchanges, no clear policy for institutional adoption, and no provision for holding crypto in sovereign reserves.
“India’s crypto policy—taxed but unregulated—needs clarity to unlock its full potential,” Bhandari stated.
The lack of a legal framework has become more pressing following the International Monetary Fund’s 2024 reclassification of Bitcoin as a capital asset, prompting countries like China, Brazil, and Russia to advance digital asset strategies.
Proposal for a Bitcoin Reserve in India
Policy insiders in New Delhi suggest that a pilot program is being informally discussed. Under the proposal, the Indian government could acquire 5,000 to 10,000 BTC using rupee-neutral instruments or proceeds from dormant state assets. These holdings would be stored in cold wallets secured by multi-signature authentication and externally audited.
In parallel, India could launch state-backed Bitcoin mining operations using excess renewable energy, aligning with its climate goals and potentially creating a self-sustaining Bitcoin treasury.
Market Reaction and Government Silence
Following Bhandari’s comments, Indian crypto exchanges reported a surge in BTC-INR trading volumes, and several industry leaders—including exchange CEOs—have welcomed the proposal, calling for a formal white paper and stakeholder consultations.
Officials from the Finance Ministry have confirmed that the idea of a Bitcoin reserve will be considered in upcoming reviews of sovereign asset management. However, the Reserve Bank of India (RBI), which has previously flagged concerns about unregulated crypto markets, has yet to issue a response.
A Global Trend Emerges
India is not alone in exploring Bitcoin at the sovereign level. In addition to the U.S. and Bhutan:
- El Salvador was the first country to adopt Bitcoin as legal tender in 2021.
- Brazil and Argentina are actively considering Bitcoin-backed bonds.
- Hong Kong and Japan are experimenting with digital asset custody models.
- The Czech Republic has debated using Bitcoin in central bank diversification strategies.
Analysts see a broader shift in how countries manage their reserves in a post-dollar, post-pandemic economy.
“Bitcoin is emerging not just as a hedge against inflation but as a geopolitical tool,” said Priya Khandelwal, a crypto policy researcher at Observer Research Foundation. “India has both the resources and the global standing to lead here.”
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