Abstract: Digitalisation has transformed the lives of millions of individuals, societies and governments globally by creating an impact on political, social, economic, cultural and environmental conditions of human existence. Through the use of information and technology, people have expanded their knowledge base, transparency in the government has been greater than ever before, and economic development has been amplified. Although varying in availability, affordability, accessibility, and technological know-how, most governments of the world have adopted the digital in some ways, of which, Bhutan is no exception. Since the inception of the first radio station in 1973 to the launch of its first nanosatellite (BHUTAN-1) in 2018, the country has made remarkable digital transformation. As a matter of fact, Bhutan’s narrative of development through the use of the digital founded on the four pillars of Gross National Happiness (GNH) has caught the attention of the whole world. Placing people at the center of its development efforts, the convergence of the digital and development to enhance GNH, over the years, has influenced all aspects of Bhutanese life. However, everything comes with a price, digitalisation involves risks for the people and natural environment, thereby, compromising the very foundation of GNH philosophy. Therefore, the purpose of this paper is to assess and evaluate the impact of digital upon the GNH of Bhutan, with a special focus on environmental conservation as one of the pillars of GNH.