Bhutan will migrate its national digital identification system from Polygon to Ethereum

Key points:

• Bhutan is migrating its national digital identity (NDI) system from Polygon to Ethereum.
• The full transition is scheduled to be completed by the first quarter of 2026.
• The Ethereum Foundation has called the project “a global step toward a more open and secure digital future in the long term.”

Bhutan is moving its national digital identity (NDI) system from the Polygon blockchain to Ethereum, enhancing the security and scalability of the platform. The GovTech Agency and the National Digital Identity Institute of Bhutan made the decision. The transition will be completed by early 2026.

According to GovTech Secretary Jigme Tenzing, the transition will strengthen the protection of citizens’ personal data:

“By moving to Ethereum, we are further strengthening the security of our digital identity,” he noted.

How the NDI system works

The NDI platform allows approximately 800 000 Bhutanese citizens to store and exchange digital credentials for accessing online services. The system is based on the principle of decentralized identification (Self-Sovereign Identity), whereby users themselves control access to their data without the involvement of centralized databases.

After integration with Ethereum, residents will be able to verify personal data — age, place of residence, or citizenship — directly through the blockchain, while maintaining confidentiality.

Launched in 2023 in partnership with Input Output Global (IOG), the developer of Cardano, the system was initially tested on Polygon and is now moving to the public Ethereum network.

Reaction from the Ethereum community

The launch ceremony, held in Bhutan, was attended by Vitalik Buterin and Ethereum Foundation President Aya Miyaguchi.

“Decentralized digital identity empowers people by giving them more secure control over their data and their online lives,” said Ethereum co-founder Vitalik Buterin.

Miyaguchi added that the introduction of Ethereum into Bhutan’s government system was “not only a national achievement but a global step toward a more open and secure digital future.”

Bhutan strengthens its presence in blockchain

The transition to Ethereum complements the country’s strategy to develop its digital economy. The Bhutanese authorities, in partnership with Binance, have introduced crypto payments to attract tourists. The Binance Pay payment system, with an audience of over 40 million users, has teamed up with local neobank DK Bank to make cryptocurrency payments for tourist services available throughout the country.

According to BitcoinTreasuries, the country ranks sixth in the world in terms of government bitcoin reserves, owning 6371 BTC, after the US, China, the UK, Ukraine, and the UAE.