RENUKA RAI | Thimphu
Bhutan has announced the introduction of TER, a physical gold-backed digital token issued by the Gelephu Mindfulness City Authority (GMCA) and exclusively distributed through DK Bank, marking a significant milestone in the Kingdom’s evolving approach to responsible digital finance and asset-backed innovation.
TER, derived from the Dzongkha word for “Treasure,” represents fractional ownership of physical gold and reflects Bhutan’s long-standing cultural ethos of safeguarding what is valuable while thoughtfully embracing modern technology. Each TER token is backed by 0.01 grams of 99.99 percent fine gold, securely stored in reputable international vaults, ensuring that every token corresponds directly to allocated physical gold.
The initiative forms part of the broader vision of Gelephu Mindfulness City (GMC), which aims to emerge as a global hub for mindful innovation, sustainability, and responsible technology adoption. As the formal issuer of TER, GMCA is positioning Bhutan at the forefront of sovereign-led asset tokenization, combining regulatory clarity with real-world value.
A defining feature of TER is its sovereign-backed and regulated structure. The token is issued by GMCA and distributed exclusively by DK Bank, Bhutan’s first fully digital bank. DK Bank operates under the regulation of the Royal Monetary Authority of Bhutan and the Gelephu Mindfulness City Authority, providing a strong institutional and regulatory foundation for the token.
This framework is intended to distinguish TER from unregulated or speculative digital assets by offering investor confidence rooted in sovereign oversight, transparency, and compliance. Unlike purely digital tokens, TER derives its value directly from physical gold, a time-tested store of value widely regarded as a hedge against inflation and market volatility.
At current gold prices in December 2025, 1 TER is valued at approximately USD 1.4038, making gold ownership accessible to a broader segment of the population. With a minimum purchase of just one TER, individuals can begin owning gold without the traditional barriers associated with purchasing, storing, and securing physical bullion.
Beyond its financial attributes, TER is positioned as a purpose-driven digital asset aligned with Bhutan’s philosophy of mindfulness and long-term stewardship. GMC describes the token as combining the enduring stability of gold with the intention of conscious investing, offering an alternative for those seeking stability amid rapid global economic and technological change.
This approach reflects the ethos of Gelephu Mindfulness City, which seeks to balance economic growth with sustainability, wellbeing, and ethical innovation. TER is therefore framed not merely as an investment product, but as part of a broader effort to redefine how digital finance can serve society responsibly.
Every TER token is backed by allocated physical gold, ensuring that the underlying asset is specifically set aside rather than notionally promised. Importantly, TER is also redeemable, reinforcing its direct link to tangible value. Token holders will be able to redeem their TER holdings for 20-gram gold coins or 1-kilogram gold bars, subject to applicable conditions and thresholds.
To ensure transparency, efficiency, and security, TER is issued on Solana’s enterprise-grade blockchain infrastructure. Solana was selected for its high transaction speeds, low costs, and comparatively small environmental footprint, aligning with Bhutan’s emphasis on sustainability and responsible technology use.
The tokenization infrastructure is supported by Matrixdock, the real-world asset business unit of the Matrixport Group. Matrixdock brings institutional-grade expertise in gold tokenization, helping ensure that TER operates within globally recognized standards for security, custody, and transparency.
The process of purchasing TER has been designed to mirror the familiarity and security of acquiring gold through a major financial institution. In the initial phase, TER can only be purchased through DK Bank, with tokens held in institutional custody.
Prospective buyers must first open a DK Bank account by downloading the DK Bank mobile application and completing the digital onboarding process. Once registered, users can access the TER Portal by selecting “First time login” and entering their DK Bank credentials, after which they are guided through the creation of a TER account.
To fund purchases, users must deposit funds in either Bhutanese Ngultrum (BTN) or US Dollars (USD) using the bank details provided in the app. For security and compliance reasons, DK Bank only accepts deposits made from accounts held in the user’s own name.
Once the account balance is updated, users can navigate to the “Buy & Sell” section of the TER Portal and begin purchasing TER tokens. At present, TER transactions are conducted exclusively through portal.ter.bt.
Commenting on the announcement, Jigdrel Singay, Board Director of Gelephu Mindfulness City, said the introduction of TER represents a foundational step in building a values-driven digital economy.
“As Gelephu Mindfulness City takes shape as a new global hub for mindful innovation, TER marks an important step in grounding digital finance in real-world assets and sovereign trust,” he said. “By issuing gold-backed digital tokens with sovereign branding, we are demonstrating how a crypto-friendly city can welcome responsible innovation while remaining rooted in Bhutan’s values of transparency, sustainability, and long-term stewardship.”
Lily Liu, President of the Solana Foundation, noted that the collaboration highlights how blockchain technology can support regulated, asset-backed digital products. “This partnership shows how forward-looking jurisdictions can use efficient and energy-conscious blockchain infrastructure to deliver high-quality digital assets while respecting cultural values and regulatory standards,” she said.
John Ge, CEO of Matrixport, added that TER reflects a shared commitment to building trusted and transparent financial infrastructure capable of connecting global markets. The introduction of TER builds on Bhutan’s expanding engagement with digital assets and blockchain technology. The country has already integrated Bitcoin, Ethereum, BNB, and other digital assets into GMC’s strategic reserves and anchored its national digital identity system on the Ethereum blockchain, enabling nearly 800,000 citizens to securely access public services.
Bhutan has also adopted Binance Pay for crypto-based payments across merchants and tourism services and is recognized as one of the earliest nations to mine Bitcoin using renewable hydropower, positioning it among the world’s leading sovereign holders of BTC while maintaining environmental responsibility.
As global interest in real-world asset tokenization continues to grow, TER places Bhutan among a small group of nations experimenting with sovereign-led, asset-backed digital instruments. By combining physical gold reserves, regulatory oversight, and advanced blockchain infrastructure, TER offers a model for how tradition and innovation can coexist within a modern financial system. For Bhutan, TER represents not just a new digital token, but a continuation of its distinctive approach to development tone that seeks progress without losing sight of enduring values.
