In December 2019, Nithyananda announced the creation of a new "Hindu nation" called Kailaasa, claiming to issue passports, currency, and other documents.[81][82][83] According to his announcement, Kailaasa was created for dispossessed Hindus around the world who had lost the right to practice Hinduism authentically in their own countries. Nithyananda claims that Kailaasa is the world's only sovereign Hindu nation and is described as a network of non-governmental organizations spanning three continents.[85][86][87]

In August 2020, Nithyananda launched the Reserve Bank of Kailaasa and released its official gold currency, Kailashian dollar.[82] He said that the design of the coins was inspired by the currency of "the ancient 56 Hindu nations" and that the bank would be structured along the lines of the Vatican Bank.[77][89][90][91][92][93] In December 2020, Nithyananda announced that Kailaasa had begun issuing three-day visas for tourists, which included food and accommodation during their stay.[94][95]

On 19 April 2021, Nithyananda banned travel to Kailaasa from India, Brazil, the European Union, and Malaysia, citing COVID-19 cases across the world.[96][97][98] On 7 June 2021, media reported that Nithyananda said during a reading that COVID-19 would end when he is received in India with respect and performs pilgrimage to all Shakti Pitha.[99][100][101][102]

In August 2022, a representative for Nithyananda wrote to Sri Lankan President Ranil Wickremesinghe to request political asylum citing Nithyananda's ill-health. The letter contained an offer to invest in Sri Lanka on the condition of asylum being granted and the donation of medical equipment required for treatment. The request also demanded the establishment of political ties with Shrikailasa so that an air ambulance could transport Nithyananda as a Head of State.[103][104]

In December 2019, Nithyananda announced the creation of a new "Hindu nation" called Kailaasa, claiming to issue passports, currency, and other documents. He stated that Kailaasa was a nation without borders created for dispossessed Hindus around the world who lost the right to practice Hinduism authentically in their own countries. Nithyananda claims that Kailaasa is the world's only sovereign Hindu nation and has been described as a network of non-governmental organizations across three continents.

In August 2020, Nithyananda launched the Reserve Bank of Kailaasa and introduced its official gold currency, Kailashian dollar. He said the design of the coins was inspired by the currency of "the ancient 56 Hindu nations" and that the bank would be structured like the Vatican Bank. In December 2020, Kailaasa began issuing three-day visas for tourists who would have to travel from Australia aboard a newly launched private chartered-flight service, Garuda. The visa holders were provided with food and accommodation during their stay.

In April 2021, Nithyananda banned travel to Kailaasa from India, Brazil, the European Union, and Malaysia citing COVID-19 cases worldwide. In June 2021, during an Amman reading, Nithyananda claimed that COVID would end when he is received in India with respect and performs pilgrimage to all Shakti Pitha.

In August 2022, a representative for Nithyananda requested political asylum from Sri Lankan President Ranil Wickremesinghe citing Nithyananda's ill-health. The request included an offer to invest in Sri Lanka on the condition of asylum being granted and the donation of necessary medical equipment for treatment. It also demanded the establishment of political ties with Shrikailasa, so that an air ambulance could transport Nithyananda as a Head of State.