The Kyrgyz Republic has officially launched its first issuance of the national gold-backed stablecoin USDKG. The ceremony, held on November 20 at the Presidential Administration, was attended by President Sadyr Japarov, Minister of Finance Almaz Baketayev, and Biibolot Mamytov, CEO of the project.
The initial tranche includes 50,000,000 USDKG tokens issued on the Tron blockchain. Each token is pegged 1:1 to the US dollar and fully backed by physical gold.
According to officials, the launch marks a significant step toward strengthening Kyrgyzstan’s position in the global financial landscape. The initiative is expected to lay the groundwork for the country’s emerging Web3 infrastructure and enhance cooperation between the government and the private sector through blockchain-based services. It also aims to increase the nation’s investment appeal by creating conditions for capital inflows and fostering new technological partnerships.
By introducing a stablecoin backed by real assets, the government seeks to build trust in financial innovation and demonstrate that asset-backed digital tools can support economic development.
USDKG is issued by the state-owned company “Virtual Asset Issuer,” ensuring a high level of institutional oversight and credibility. Operational management, including gold custody, is carried out by a privately owned Kyrgyz company under contract with the issuer. This separation of roles maintains independent operational control and prevents USDKG from being classified as a central bank digital currency (CBDC).
USDKG is a gold-backed stablecoin supported by the Kyrgyz Republic, designed as a transparent, secure, and stable digital asset that combines the reliability of gold with the efficiency of blockchain technology.