The Kingdom of Bhutan officially launched a national identification system on the Ethereum network, storing information of 800,000 citizens.
The South Asian country is transitioning its entire citizen self-sovereign identification system from Polygon to Ethereum, allowing citizens to verify their identities and access public services securely and transparently without relying on intermediaries. The integration with the Ethereum network is complete, and the transfer of all citizen identification data is expected to be completed in the first quarter of 2026, according to Aya Miyaguchi, president of the Ethereum Foundation.
The launch was attended by Bhutan Prime Minister Tshering Tobgay, Crown Prince Jigme Namgyel Wangchuk, Ethereum co-founders Vitalik Buterin and Aya Miyaguchi. Ms. Miyaguchi Chia on the X platform that it was inspiring to see a country committed to empowering its citizens through self-sovereign identity, and affirmed that this milestone is not only a national achievement but also a global step towards a more open and secure digital future.
Integrating blockchain technology into national identification systems has long been XEM one of the most potential applications of crypto assets, thanks to its immutability, transparency and security properties, especially when applying a non-disclosure proof mechanism to protect privacy.
From “happy nation” to digital asset hub
Bhutan previously operated its national identification system on Polygon from August 2024 and Hyperledger Indy before that, making Ethereum the country's third national blockchain in the identification field.
Apart from Bhutan, Brazil and Vietnam are two other rare countries that have also tested or partially implemented self-sovereign identity solutions on blockchain platforms. Ms. Miyaguchi acknowledged the important contributions of the National Digital Identity team and GovTech Bhutan team, along with members of Bhutan’s crypto-asset community in realizing this integration.
Known for its Gross National Happiness index rather than GDP, Bhutan has become one of the world's leading countries in crypto asset adoption in recent years. According to BitBo Bitcoin Treasuries data, Bhutan is now the world's fifth-largest Bitcoin holder with 11,286 BTC worth about $1.31 billion, behind only the United States, China, the United Kingdom, and Ukraine.
Most of these Bitcoins are mined using renewable energy from hydroelectric dams in the Himalayas, demonstrating a sustainable development model that combines technology and the environment.