Bhutan has taken a groundbreaking step in its journey toward blockchain innovation by launching a gold-backed digital token, TER, on the Solana blockchain. This initiative aligns the kingdom with the global stablecoin ecosystem while championing sustainability and transparency within its financial systems.
What is the TER Token?
The TER token, deriving its name from the Dzongkha word for ‘treasure,’ is backed by physical gold stores managed securely by Bhutan’s first digital bank, DK Bank. As the exclusive distributor and custodian of the token, DK Bank will ensure institutional-grade security for investors. This blockchain venture comes under the oversight of the Gelephu Mindfulness City Authority, further emphasizing Bhutan’s focus on responsible innovation.
The Infrastructure Behind Bhutan’s Tokenization Efforts
Matrixdock, a leading digital asset financial services platform, plays a critical role by providing the infrastructural framework needed for the tokenization process. The move not only demonstrates Bhutan’s technological prowess but also reaffirms the kingdom’s commitment to integrating blockchain into various sectors of its economy. Citizens and investors within the Gelephu Mindfulness City region can purchase TER directly through DK Bank, leveraging blockchain’s efficiency and transparency.
A Vision Beyond Gold
While TER focuses on gold as a stable asset, Bhutan may explore tokenization of other natural resources, such as silver, rare gemstones, or even cultural and environmental assets. This forward-thinking approach allows the country to monetize resources sustainably, aligning with its deeply rooted values of conservation and respect for nature.
Bhutan’s Broader Blockchain Strategy
The gold-backed TER token is only one piece of Bhutan’s ambitious blockchain journey. Since 2019, the kingdom has been utilizing its abundant hydroelectric resources for Bitcoin mining operations. According to Arkham Intelligence, Bhutan holds 5,984 BTC, valued at over $536 million, making it one of the top sovereign holders of Bitcoin globally.
Moreover, partnerships with leading platforms like Binance Pay have furthered Bhutan’s crypto adoption. In May 2025, the nation integrated crypto payment systems into its tourism sector, enabling seamless transactions using over 100 cryptocurrencies across its extensive network of local merchants. Additionally, the integration of its National Digital Identity platform with Ethereum has solidified Bhutan as a pioneer in blockchain-driven identity systems.
Why Gold-Backed Tokens Matter
Gold-backed tokens, like TER, offer a stable and reliable digital asset tied to a precious commodity. Platforms like Paxos Gold (PAXG) have already set a precedent in this space, bridging traditional investments with blockchain technology. Such innovations appeal to countries like Bhutan, seeking to modernize their economies while maintaining monetary stability.
Looking Ahead
With its sights set on the future, Bhutan is demonstrating how a small nation can lead in blockchain innovation. From gold-backed tokens to tokenized cultural treasures, the kingdom is leveraging technology to balance economic growth with its commitment to sustainability and tradition.
