The bank’s sister institution, DK Bank, will cater to resident Bhutanese under the regulatory oversight of the Royal Monetary Authority

Thukten Zangpo 

ORO Bank, Asia’s first full-reserve bank, is positioning itself as a pillar of trust and transparency in the country’s ambitious Gelephu Mindfulness City (GMC), according to its Chief Executive Officer, Mike Kayamori.

Speaking at the Loden Foundation’s 67th Bhutan Dialogues on January 28, Kayamori shared ORO Bank’s transformative vision in a conversation with Phub Dorji, CEO of Nyingnor and a trustee of the Loden Foundation.

Mike Kayamori emphasised that the bank’s model, which rejects the traditional fractional reserve system, offers unparalleled financial stability and aligns with GMC’s principles of sustainability and mindfulness.

“ORO Bank merges financial stability with cutting-edge innovation,” he said.

Critiquing conventional banking systems, Mike Kayamori said that most banks retain only 3–5 percent of customer deposits as reserves, lending out the remainder to generate revenue.

“This system creates leverage cycles,” he explained. “When markets falter or risk backfire, banks face liquidity crises, leading to collapses or taxpayer-funded bailouts every decade or so,” he said.

In contrast, Mike Kayamori said that the ORO Bank operates as a full-reserve institution, holding 100 percent of customer deposits in reserve. “If you deposit USD 100 with us, we keep USD 100.”

He explained that while traditional banks profit by lending deposits, ORO Bank generates revenue through transaction fees, foreign exchange services, and premium offerings—a structure, he argued, reduces systemic risk.

As the designated digital bank for GMC’s Special Administrative Region, ORO Bank serves three key groups: businesses and suppliers within GMC, global entrepreneurs attracted to the city’s sustainable and secure brand, and Bhutanese living abroad.

“Anyone registered in GMC—whether a company or individual—automatically gains access to an ORO account,” said Mike Kayamori.

The bank’s sister institution, DK Bank, will cater to resident Bhutanese under the regulatory oversight of the Royal Monetary Authority. “DK and ORO will ‘cross-pollinate’ services with regulatory approval,” he added.

A recurring theme during the conversation was ORO Bank’s commitment to transparency. “We tell customers: ‘Be your own bank,’” Mike Kayamori said. “You control your money, with full visibility into where it’s held and how it’s used.”

Unlike traditional banks, ORO allows clients to allocate deposits into treasury products or investments while retaining authority over decisions, he added.

To empower users, ORO Bank is developing an AI-powered financial assistant, slated for launch by late 2025. The tool will analyse risk appetite, time horizons, and yield expectations to offer personalised advice.

“Entrepreneurs must master resource management—both human capital and finances,” Mike Kayamori said. “Our AI acts as a co-pilot, helping founders make informed choices.”

Mike Kayamori positioned ORO at the forefront of digital finance, highlighting plans to integrate cryptocurrencies, stablecoins, and tokenised assets.

“Bitcoin is digital gold, and GMC’s global outlook demands accessibility to these tools,” he said.

While ORO will offer crypto services offshore, DK Bank’s offerings will depend on RMA guidelines.

Mike Kayamori said that the ORO Bank success hinges on entrepreneurs’ success. “If the entrepreneurs are successful, they will deposit more.”

Central to ORO’s mission in fostering trust in GMC by combining transparency with Bhutan’s values, the Bank will create a community where businesses and innovators feel secure.

“We want our customers to feel empowered that they are part of the Bank so that they make their decisions on their own deposit. That is the ultimate safety,” Mike Kayamori said.

Advertisement