How Tiny Bhutan Could Inspire the World

tl;dr: Though many have never heard of it, nor could they find it on a map, tiny Bhutan could become a world leader in the next age of capitalism and growth.

A friend recently sent me a brochure for an opportunity to visit Bhutan. The trip involves a multi-day trek in the Himalayas, visits to a number of important religious sites, and an opportunity to understand how the country, which ranks 158th in the world is planning on growing.

But here’s the thing about Bhutan that is REALLY fascinating.

The Principle That Drives Bhutan

It’s guided by principles.

And it’s primary principle for growth isn’t GDP, it’s GNH- Gross National Happiness.

From Wikipedia:

The term “Gross National Happiness” was coined in 1972 during an interview by a British journalist for the Financial Times at Bombay airport when the then king of Bhutan, Jigme Singye Wangchuck, said “Gross National Happiness is more important than Gross National Product.”[2][3]

So, at first glance, this is a country that may appear poor, but may actually be richer than everyone else, because they are wealthy in what really matters. As Fast Company wrote, Bhutan may be the most sustainable country on earth and the “world’s greenest country.”

Now Bhutan isn’t perfect and there are plenty of challenges when it comes to managing its resources, particularly in a country with such relative poverty. However, it is the only country in the world that is carbon negative. In 2004, Bhutan became the first country in the world to ban smoking and the selling of tobacco. It’s committed to the environment, which is important for the rest of us because Bhutan, apparently, is one of the world’s most important ecological points in the world (though I can’t find the link right now).

The more you read about Bhutan, the more you sense the struggle they face to provide a high quality of life for their citizens while not abandoning their traditional Buddhist beliefs and respect for living in harmony with nature.

The Challenge and the Opportunity
Bhutan has a lot of natural resources, but harvesting them would not only destroy the environment, it would undercut the value proposition for travelers, an important part of their economy.

Today, travelers to the country must spend a minimum amount of money per day because they want to deter low-cost tourism.

Add to all of this that the infrastructure in and out of the country is limited in terms of rail and roads, another balancing act.

So, what could they do?

As I was listening to Azeem Azhar’s podcast interview, Growth and the Energy Transition with Vaclav Smil, it occurred to me that Bhutan could become the spiritual and financial center for a global movement of people committed to sustainable, mindful capitalism.

And it could become a showcase to the world for how we can work collaboratively to solve problems.

And it would all work through BhutanCoin.

The Bhutan Token
Imagine a BhutanCoin, secured by a blockchain.

The coin could serve many functions.

First, it could be a badge of honor for

• global environmentalists and climate change advocates. Greta Thurnberg and Leonardo DiCaprio should have one.
• people who question the “grow at all costs” mentality of our current capitalist model. Elizabeth Warren and Bernie Sanders should have one.
• authors and influencers in the “happiness” market. Gretchen Rubin should have one.

The money raised from the sale of BhutanCoin would go directly to preservation efforts and keeping the country in harmony with nature.

But feel-good fundraising alone wouldn’t get the job done. There needs to be more.

Second, it’s an investment vehicle.

The BhutanCoin (and there could be different versions/levels/tiers) could also represent ownership in Bhutan’s hydropower potential. It’s a green tech investment that pays a dividend.

Plus, they could take a page out of the Estonia playbook and create a class of e-citizens (though we’d probably have to work on the value prop on that one)

Third, it’s a right to visit.

Furthermore, only holders of a BhutanCoin would be able to enter the country. It’s like a “skin in the game” visa.

To visit the country, you need to prove (with your token) that you are committed to the same values as the people who live in the country. You don’t just come through and “do Bhutan.”

You invest in a BhutanCoin and, lock shares in a company during a vesting/lock-up period, you are demonstrating that your visit is about much more than sightseeing.

Fourth, it represents voting rights.

The country could take its Bhutan Trust Fund for Environmental Conservation (BTFEC) and enable global participation in voting decisions about how to live sustainably.

Imagine hundreds of thousands or millions of people who vote (via blockchain-based governance systems that enable scale and fairness) on responsible ecological management. It would be an inspiring showcase, demonstrating the potential and hope for the world to solve some of our most vexing challenges.

Fifth, it creates a global financial hub

BhutanCoin could also become the currency of the realm and thus lead to the country becoming a global financial hub. Admittedly, this seems like a bigger stretch, but it is something the Marshall Islands has already done and I’ve met the team that is doing it. So, it’s not so crazy.

Bhutan as a Movement
Being a BhutanCoin/Prizm holder would not just be an emotional statement or even a financial instrument, it would be about being part of the Bhutan movement.

The movement is a collection of people from around the world who share a common set of beliefs, coordinating to find a way to live mindfully. Bhutan becomes the spiritual home for this growing, global awareness as well as the proving ground that it is possible.

Gross National Happiness becomes the country’s biggest export.

I realize that there’s a long way between where Bhutan is today and where some of these ideas are. It’s a blog post with a fair amount of riffing, but the exercise was useful for me.

As we see stagnation in advanced industrial economies, I suspect that the next era of global innovation is going to come from some unexpected places doing some unexpected things to meet some needs that didn’t exist a few years ago.

Why not Bhutan? 😉