Ethereum News Today: Bhutan's Ethereum Stake Powers First National Blockchain ID System

The Royal Government of Bhutan has staked 320 Ethereum (ETH) tokens, valued at approximately $970,000, through institutional staking provider Figment.io, marking a significant expansion of the nation's blockchain strategy. This move follows the launch of Bhutan's national digital identity system on the Ethereum blockchain in October 2025, positioning the Himalayan kingdom as the first country to anchor such infrastructure on the network. The staking activity, confirmed via on-chain data from Arkham, underscores Bhutan's dual commitment to securing its digital assets and leveraging Ethereum's decentralized infrastructure for public services.

The government's Ethereum holdings are managed through Druk Holding and Investments, its state-owned investment firm, which also oversees a $560.26 million Bitcoin reserve. While Bitcoin remains the primary reserve asset, the recent ETH staking reflects a strategic diversification into proof-of-stake mechanisms, with Bhutan activating 10 new validators on the Ethereum network. This not only enhances the country's potential staking rewards but also contributes to Ethereum's security and decentralization.

Bhutan's digital identity initiative, now operational on Ethereum, aims to provide citizens with self-sovereign control over their credentials. Aya Miyaguchi, CEO of the Ethereum Foundation, highlighted the project's alignment with the network's principles of transparency and long-term system integrity during the October 2025 launch, noting the collaboration's potential to set a global precedent for blockchain-based governance. The migration of all credentials to Ethereum is slated for completion by early 2026, with the government citing the network's robust security and validator ecosystem as key factors in the decision.

Ethereum's price dynamics have also drawn attention ahead of the Fusaka upgrade scheduled for December 3, 2025. On November 27, 2025, the token rebounded from a daily support level near $3,000, with analysts suggesting the $3,000 zone acts as a liquidity pocket for buyers. Ted Pillows, a crypto analyst, noted that sustained momentum above this level could propel ETH toward $3,400, citing increased inflows into spot ETFs and institutional interest in blockchain-based infrastructure projects like Bhutan's digital ID system.

The staking move has broader implications for Bhutan's economic strategy. By integrating crypto assets into its reserves and public services, the government aims to bolster regional economic resilience and foster innovation in Gelephu Mindfulness City, a planned hub for digital and economic development. However, the volatility of digital assets and regulatory uncertainties remain challenges, particularly as the country expands its blockchain footprint.

Bhutan's approach reflects a growing trend of governments adopting decentralized technologies for governance and identity systems. With over $1.02 million in unstaked ETH remaining in the government's wallet, future transactions could further cement its role as a pioneer in blockchain-powered public infrastructure.