Bhutan has completed integration of its National Digital Identity system with the Ethereum blockchain, marking the first time a nation has anchored such infrastructure on Ethereum's network.
The South Asian kingdom is migrating its NDI platform from Polygon to Ethereum, with full credential migration expected by the first quarter of 2026. The system serves approximately 800,000 residents across the country.
Jigme Tenzing, Secretary of Bhutan's GovTech Agency, stated the migration to Ethereum further strengthens the security of the nation's digital identity infrastructure. The NDI project initially launched on Polygon in August 2024 after previously running on Hyperledger Indy.
Ethereum Foundation Involvement
Ethereum Foundation President Aya Miyaguchi and co-founder Vitalik Buterin attended Monday's launch ceremony in Bhutan alongside Prime Minister Tshering Tobgay and Crown Prince Jigme Namgyel Wangchuk. Miyaguchi emphasized the alignment between Bhutan's values and Ethereum's foundational principles.
The self-sovereign identity technology allows residents to store and share digital credentials for accessing online government services. Miyaguchi described the milestone as both a national achievement and a global step toward a more secure digital future.
Crypto Mining and Blockchain Adoption
Beyond blockchain identity systems, Bhutan has quietly emerged as a major player in crypto mining using renewable energy from its Himalayan hydropower facilities. The nation currently holds 11,286 Bitcoin valued at $1.31 billion, making it the fifth-largest government holder globally.
Only the United States, China, the United Kingdom, and Ukraine hold more Bitcoin than Bhutan, according to BitBo's Bitcoin Treasuries data. The country's approach to blockchain adoption extends across multiple sectors of its digital economy.
Global Comparison
Brazil and Vietnam are among the few other nations that have implemented blockchain-based self-sovereign identity solutions to date. Bhutan's National Digital Identity and GovTech teams played crucial roles in executing the Ethereum integration.