Bhutan to Launch Sovereign Gold‑Backed Token on Solana Network

The Kingdom of Bhutan, a Bitcoin-friendly nation, has recently launched a gold-backed digital token through Gelephu Mindfulness City (GMC). The token will launch on the Solana blockchain network. DK Bank, Bhutan’s first digital bank, holds exclusive rights to distribute it.

Bhutan Brings Its Old Gold Token (TER) on Solana Blockchain

In an announcement on December 11, Bhutan released its Gold token (TER). There, each token represents an equal amount of Gold token held in physical custody. This is nothing but a blockchain-based version of the yellow metal, which is up over 65% this year.

The TER gold token will act as a bridge between traditional stores of value and blockchain-based financial infrastructure. According to Bhutan, the asset was developed to provide international investors with a modern and accessible way to hold gold.

At the same time, it will benefit from Solana’s global transferability and on-chain settlement capabilities. The latest launch seems to be an effort of Bhutan’s diversification plan from Bitcoin.

Amid BTC’s underperformance and flat returns in 2025, the government has sold part of its holdings over the past few months. As per the data from Arkham Intelligence, it now holds 5,984 BTC as part of its treasury.

Bhutan’s digital asset reserves were not acquired through seizures or large market purchases. Instead, the kingdom began developing large-scale mining operations in 2020, utilizing its extensive hydropower capacity. Now, they hold nearly $540 million worth of digital assets.

Bhutan’s Gold Token To Help Gelephu Mindfulness City (GMC)

The introduction of a tokenized gold asset aligns with Bhutan’s broader vision for Gelephu Mindfulness City. It is an emerging special administrative region intended to attract global capital and digital-asset businesses.

The zone operates with regulatory flexibility distinct from the rest of the kingdom. It’s similar to how Hong Kong functions as a controlled crypto environment for China.

Matrixdock, a digital asset financial services platform, will supply the tokenization infrastructure for the initiative.

It will function under a Financial Services Licence issued by the Gelephu Mindfulness City Authority in September. Speaking on the development, Jigdrel Singay, GMC Board Director, said:

Bhutan’s announcement follows closely on the heels of Kyrgyzstan’s launch of USDKG. It’s a gold-backed stablecoin pegged to the U.S. dollar. Kyrgyzstan issued an initial $50 million tranche. This marks one of the first state-supervised digital-asset initiatives in Central Asia.

Gold Price Rally to Continue

Even after 65% upside in 2025 so far, market experts see the Gold price rally continuing into 2026. After hitting an all-time high of $4,400 in October 2025, the Gold price is consolidating at around $4,200 per ounce.

However, analysts believe that the consolidation could end soon with a breakout on the upside. Analyst Gary Savage noted that gold is currently trading within a triangle consolidation pattern. Also, it’s again testing its upper trend line.

He said that a breakout above this resistance level could trigger a rapid move toward the $4,400 area. A further breakout would signal the next major upward phase. Analysts project a target range of $5,500 to $6,000 by spring.

Popular market analyst Rasha Hajiyev cited the multi-decade chart for Gold. The analyst noted that it has completed a large cup-and-handle formation. The cup developed over nine years from 2011 to 2020. The handle formed over the subsequent four years.

Following the breakout, gold’s price doubled in under two years. Based on this structure, he expects the yellow metal rally to continue up to $8,000 by the end of 2026.