India's BJP Proposes Bitcoin Reserve to Leverage Renewable Energy

Pradeep Bhandari, a prominent spokesperson for India's ruling Bharatiya Janata Party (BJP), has proposed that India establish a strategic Bitcoin reserve. This suggestion comes at a time when global interest in Bitcoin reserves is growing, and it underscores the need for a clear and comprehensive cryptocurrency policy in India.

Bhandari's proposal is inspired by successful models from the U.S. and Bhutan, which have already established national Bitcoin reserves. He advocates for India to leverage its abundant renewable energy resources to mine Bitcoin, similar to Bhutan's approach. Bhutan has successfully amassed a Bitcoin reserve worth over $1 billion, which funds public services and green projects. Bhandari believes that India, with its substantial renewable energy capacity, could follow a similar path to position Bitcoin within its economic framework. He stated, "India, with its substantial renewable energy capacity, could emulate Bhutan's model of using surplus hydropower to mine Bitcoin. Bhutan has successfully amassed a Bitcoin reserve worth over $1 billion, which now funds public services and green projects. India's crypto policy, currently taxed but unregulated, needs clarity to unlock its full potential."

If implemented, this proposal could significantly impact India's approach to digital assets. While there is no official government policy in place, such advocacy could indicate potential shifts in regulatory perspectives and economic strategies involving Bitcoin. Financially, adopting Bitcoin as a reserve could provide inflation hedge benefits, similar to the U.S. and Bhutan's use of digital currencies. However, this remains contingent on political and regulatory alignment within India.

Bitcoin's potential as a national reserve asset is closely tied to global trends. India could benefit by aligning its digital asset strategy with broader economic goals, potentially influencing regional crypto dynamics. Insights from international experiences suggest substantial economic advantages from a national Bitcoin reserve. India's move could set a precedent in policy direction and crypto asset integration within national fiscal plans, should regulatory frameworks adapt.

Bitcoin's appeal as a strategic reserve asset lies in its core features. It has no central issuer, much like gold, and only 21 million Bitcoins will ever exist, making it immune to inflation caused by overprinting of fiat money. Its liquidity is unmatched, as it trades around the clock on global exchanges, and every transaction is traceable through a public blockchain, offering a level of transparency rare in traditional finance. In 2025, the US SEC recognized Bitcoin as a commodity, not a security, and the IMF now classifies it as a capital asset. These recognitions boost its legitimacy and offer governments a decentralized and transparent hedge.

The support from Bhandari and Gupta reflects years of advocacy from India's crypto ecosystem. Their call is clear: India must explore Bitcoin's potential as a strategic reserve. With the US and Bhutan leading by example, India cannot afford to wait. The G20 talks, chaired by India in 2023, gave the country a head start, but other nations are already running. India needs regulation, not delay. Clear rules could unlock responsible innovation, and with the right vision, India could move from lagging behind to leading the global Web3 wave.