The Kyrgyz Republic Launches First Gold-Backed Stablecoin USDKG

The first issuance of the national stablecoin USDKG was officially launched at a ceremony attended by President of the Kyrgyz Republic Sadyr Japarov, Minister of Finance Almaz Baketaev and Chairman of the Management Board of OJSC “Virtual Assets Issuer” Biibolot Mamytov. The event took place on 20 November at the Administration of the President of the Kyrgyz Republic.

An initial 50,000,000 USDKG tokens have been issued on the Tron network. Each token is equivalent to one US dollar and is fully backed by physical gold.

The launch opens up new opportunities for strengthening Kyrgyzstan’s position in the global financial ecosystem. It lays the foundation for building out the infrastructure of a Web3 ecosystem of decentralized services that enable interaction between the state and the private sector through blockchain solutions. In addition, USDKG enhances the country’s investment appeal by creating conditions for capital inflows and the development of technological partnerships.

By introducing a stablecoin backed by real assets, the initiative helps to build trust in financial innovation and demonstrates that digitally native instruments with tangible collateral can serve as a tool for economic development.

The issuance of USDKG is carried out by OJSC “Virtual Assets Issuer”, a company with 100% state ownership, which ensures a high level of trust and institutional reliability. Operational control, including gold management, is exercised by a private company incorporated in the Kyrgyz Republic under an agreement with the issuer. This separation of roles ensures independent operational oversight and prevents USDKG from being classified as a central bank digital currency (CBDC).

USDKG is a gold-backed stablecoin fully supported by the Kyrgyz Republic. Designed as a transparent, secure and stable digital currency, USDKG combines the reliability of gold with the efficiency of blockchain technology.