Marshall Islands Revolutionize Income Distribution with Blockchain

Starting from November 26, 2025, the Marshall Islands launched an ambitious national basic income project called ENRA, fully integrated into the Stellar network. This move marks an important milestone in the adoption of blockchain technology for social policies at the state level.

The Architecture of the ENRA Program

The program, funded through returns from the Compact Trust Fund—specifically up to 4% of its earnings—establishes a direct distribution system to citizens. The payment structure operates flexibly: residents can choose to receive their monthly allocations via traditional bank transfers, conventional checks, or through Lomalo, the native digital wallet of the ecosystem.

Financial Innovation: The USDM1 Digital Sovereign Bond

Alongside the basic income program launch, the Stellar Foundation introduced the USDM1 financial instrument, a digital sovereign bond fully backed by short-term U.S. Treasury bonds. This structure guarantees a 1:1 parity with USD and allows citizens to redeem their holdings in U.S. dollars at any time.

Transparency and Security: Central Objectives

The Marshall Islands aims to strengthen its mechanisms for preventing illicit financing through the use of blockchain technology, which provides an immutable and verifiable record of all transactions. By distributing national wealth transparently and traceably, the country demonstrates its commitment to responsible governance and combating irregular financial activities. This approach makes the Marshall Islands a pioneer in digital public policies based on distributed ledger technology.