- Bhutan is now the first country to anchor its national ID system on Ethereum’s blockchain network.
- Migration from Polygon to Ethereum aims to boost digital security for Bhutan’s 800,000 registered citizens.
Bhutan has initiated the transfer of its national digital identity system from the Polygon network to Ethereum. This migration impacts about 800,000 residents and is aimed at improving long-term security and flexibility for the public service users.
The country considers this switch as a part of the overall plan for digitization. The citizens will be able to control their personal information safely on the new system by utilizing blockchain technologies that will diminish the need for reliance on centralized databases.
National Digital Identity Project Underway
The system, known as the National Digital Identity (NDI), allows individuals in Bhutan to control and use their digital credentials. These are used for identification across various government services.
According to Jigme Tenzing, who leads the country’s GovTech Agency, Bhutan has been using Polygon since August 2024. The new Ethereum-based system has now been integrated, and full migration of user data is expected to be completed by March 2026.
Tenzing explained that the change aims to “strengthen the security” of citizen data. During the transition period, both systems will continue to operate to avoid service disruptions.
Interestingly, to signify the installation of the new system, a formal event was organized. Among the attendees were Prime Minister Tshering Tobgay, Crown Prince Jigme Namgyel Wangchuk, Vitalik Buterin, an Ethereum co-founder, and Aya Miyaguchi, the Ethereum Foundation’s CEO.
Miyaguchi shared updates on the project through her social media account. She said Bhutan was now “the first nation to anchor its national digital identity system on Ethereum.”
1/ Today, Bhutan celebrates a historic milestone, becoming the first nation to anchor its national digital identity system on Ethereum. 🇧🇹@VitalikButerin and I were honored to join the launch ceremony on behalf of the Ethereum community, graced by His Royal Highness. pic.twitter.com/KA4tOYbsJ4
— Aya Miyaguchi (@AyaMiyagotchi) October 13, 2025
She further explained that the collaboration was based on the common objectives of the Ethereum ecosystem and digital priorities of Bhutan. The integration was a joint effort of the teams from the Ethereum Foundation and the government of Bhutan, assisted by local developers.
Blockchain Has Been Part of Bhutan’s Plans for Years
This is not Bhutan’s first experience with blockchain. Before using Polygon, the country ran its digital identity program on Hyperledger Indy. The latest change is part of an ongoing plan to keep improving the system.
Bhutan is one of the few countries using blockchain to support national-level identity services. Similar efforts have been seen in places like Brazil and Vietnam, though not on the same scale.
Ethereum 🤝 Bhutan
This is cool – Bhutan just integrated the BhutanNDI system with Ethereum.
Vitalik and Aya joined the ceremony with the Prime Minister and Crown Prince.
BhutanNDI is a private SSI system for verifiable credentials on-chain for anything citizen related 🇧🇹 pic.twitter.com/Lxi7vlGl43
— timour kosters (@timourxyz) October 13, 2025
The country has also taken steps to build digital assets. Bhutan’s holdings include over 11,000 Bitcoin, which were acquired through hydro-powered mining programs. Public data shows it ranks among the top five governments in terms of Bitcoin reserves.
In recent months, Bhutan has also opened discussions with major crypto firms. A meeting with Binance’s former CEO took place in September, though the government has not shared any updates on possible agreements.
Full Migration Expected by Early 2026
While the Ethereum system is now live, the process of moving all user credentials is ongoing. Officials expect this to wrap up in the first quarter of 2026.
The GovTech Agency will oversee the remaining phases. Public updates will be provided to ensure that citizens can follow the progress. For now, services remain active, and users can continue to access government platforms as usual.
No timeline has been set for additional blockchain projects, but the current migration marks a major step in Bhutan’s digital roadmap.
