Kyrgyzstan Launches Som-Pegged Stablecoin and Sets Up National Crypto Reserve

Kyrgyzstan som-pegged stablecoin KGST is at the center of the nation’s new digital strategy. Officially launched this October as part of a broader legislative package called the “digital storm,” KGST is pegged 1:1 to the Kyrgyz som. This public launch followed a high-level meeting led by President Sadyr Japarov and attended by key figures such as Binance founder Changpeng Zhao. The rollout builds on support from the National Council for the Development of Virtual Assets and Blockchain Technologies.​

Kyrgyzstan’s parliament approved wide-sweeping crypto measures, calling for the economy ministry to upgrade digital-asset legal frameworks and for officials to deliver concrete plans for a national cryptocurrency reserve within two months. According to leaders, the goal is to boost the country’s profile as a digital innovator, expand access to finance, and offer new investment and payment tools for citizens.​

Digital Som CBDC and Crypto Reserve Bolster Roadmap

Alongside the Kyrgyzstan som-pegged stablecoin, the country is piloting a separate digital currency: the “digital som” CBDC. Set to be tested in three stages, the project connects the National Bank and commercial banks, moves on to integrating the Central Treasury for social and public sector payments, and finally tests offline and low-connectivity capabilities. If successful, this paves the way for nationwide adoption. The National Bank has developed this pilot with local blockchain partner Build block TECH.

Changpeng Zhao confirmed that BNB will be included in the upcoming national crypto reserve, a move backed by an April agreement between Binance and Kyrgyzstan’s National Investment Agency. The crypto reserve will contain both BNB and other select assets, supporting economic resiliency while inviting global investors. Parliamentary leaders have also tasked officials to cement a new legal framework for the growing blockchain and digital-asset market.​

Growth, Transparency, and Real Economic Impact

Kyrgyzstan has experienced a surge in crypto exchange volume. Farkhat Iminov, Head of the Secretariat for the council, disclosed that the country saw 860 billion soms (nearly US$10 billion) in crypto exchange volume in just the first half of 2025, an increase of 47% from all of 2024. This spike reflects expanding trust and activity in both blockchain-powered payments and investment.

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Disclaimer

This article is for informational purposes only. It does not constitute financial advice. Digital assets are volatile, always research thoroughly and consult a professional before making investment decisions.