Kyrgyzstan puts 50 mln gold-backed USDKG stablecoins into circulation
BISHKEK. Nov 20 (Interfax) - Kyrgyzstan has launched its USDKG stablecoin, backed by gold and pegged to the U.S. dollar, the press office of Kyrgyz President Sadyr Japarov said.
A total of 50 million USDKG tokens were put into circulation on the Tron blockchain.
Finance Minister Almaz Baketayev and Biybolot Mamytov, CEO of OJSC Virtual Asset Issuer, attended the ceremony.
The State Financial Market Regulation and Supervision Service at the end of October registered an issue consisting of 50.1 million tokens. USDKG is pegged to the dollar at a 1:1 ratio.
"The launch opens up new opportunities to strengthen Kyrgyzstan's standing in the global financial ecosystem. It creates a foundation for the development of Web3 infrastructure - an ecosystem of decentralized services that facilitate interaction between the state and private sectors through blockchain solutions. USDKG enhances Kyrgyzstan's investment appeal by putting conditions in place for capital inflows and technological partnerships. By introducing a stablecoin backed by real assets, the initiative builds confidence in financial innovation and demonstrates that digital instruments can be backed by tangible assets and contribute to economic development," the agency has said.
The tokens were issued by OJSC Virtual Asset Issuer, solely owned by the Kyrgyz Finance Ministry.
The ministry plans going forward to list USDKG in centralized and decentralized platforms.
Kyrgyzstan is also launching the national KGSToken (KGST) stablecoin, pegged to the local currency, the som. The KGST stablecoin was developed on the BNB Smart Chain (BSC). Initially, the KGST stablecoin, which was piloted at the beginning of November, will be listed on local cryptocurrency exchanges in Kyrgyzstan and the CIS countries, followed by a number of global trading platforms, including Binance, Coinbase and others. A mobile app for KGSToken holders will be launched soon.
Plans also include creating a national crypto-currency reserve and national crypto-currency exchange.
