In a significant advancement for digital assets, Bhutan has launched the TER token, a sovereign-backed digital currency fully collateralized by physical gold reserves. This initiative, announced by the Special Administrative Region of Gelephu Mindfulness City (GMC), represents Bhutan”s latest foray into the blockchain space.
The TER token operates on the Solana (SOL) blockchain, offering both domestic and international investors an opportunity to invest in gold with enhanced transparency and accessibility. This innovative token is designed to mirror traditional gold ownership while leveraging the speed and efficiency of Solana”s blockchain infrastructure.
As part of this launch, DK Bank has been appointed as the exclusive distributor for the TER token, while Matrixdock provides the necessary tokenization infrastructure. This partnership ensures on-chain proof of reserves, allowing for instant settlement and verification of collateral.
The introduction of the TER token is a key element of Bhutan”s broader digital strategy, which encompasses a range of blockchain initiatives. Notably, the Royal Monetary Authority of Bhutan has previously collaborated with Ripple to explore a digital version of the ngultrum, the nation”s currency. In addition, Bhutan has been building its strategic reserves with holdings in Bitcoin.
Looking ahead, Bhutan is transitioning its National Digital Identity platform to the Ethereum blockchain, aiming for completion by early 2026. The TER token not only seeks to provide users with instant settlement and global portability but also integrates seamlessly with digital wallets, making it a versatile addition to the digital asset landscape.
This initiative effectively combines the stability of gold as a store of value with the innovative potential of blockchain technology, resulting in a government-backed tokenized asset that could influence the future of digital finance in Bhutan and beyond.
