Kyrgyzstan Launches National Stablecoin on BNB Chain and Establishes Cryptocurrency Reserve
Bishkek, October 25, 2025 – Kyrgyzstan has taken a significant step forward in its digital finance landscape by officially launching a national stablecoin pegged 1:1 to its national currency, the Som, on the BNB Chain. This move is part of the country’s broader national cryptocurrency strategy aiming to digitalize financial infrastructure and enhance government payment systems.
The new stablecoin, believed to be named KGST, is registered in the State Register of Digital Assets and is designed to coexist with the country’s recently legally recognized Central Bank Digital Currency (CBDC), the digital som. The CBDC is prepared for rollout, with initial plans to pilot government-related payment processes using the digital som, marking a historic first for Kyrgyzstan’s public sector adoption of blockchain technology.
Kyrgyzstan’s President Sadyr Japarov amended the country’s constitutional law earlier this year, enabling the digital som to attain legal tender status upon full implementation by the National Bank. This legislative move underpins the government’s commitment to integrating blockchain-based currencies into its financial and administrative operations.
Establishing a National Cryptocurrency Reserve
In addition to launching the stablecoin, Kyrgyzstan has established a national cryptocurrency reserve that notably includes Binance Coin (BNB). This inclusion signals increased institutional confidence in Binance’s ecosystem and the token itself. According to Binance founder Changpeng Zhao (commonly known as CZ), the addition of BNB to the national reserve represents a vote of trust in one of the world’s leading blockchain ecosystems.
Binance and Kyrgyzstan: A Collaborative Ecosystem
Binance is playing an active role in Kyrgyzstan’s crypto ecosystem development. The Binance Academy has partnered with 10 top universities across the country to support blockchain education and training. Furthermore, the Binance app has been fully localized to the Kyrgyz language, enhancing accessibility for local users. The company also hosted a major meetup event in Bishkek, drawing around 1,000 participants, underlining growing public interest in digital assets.
The Kyrgyz government is also working with tech partners on smart contract infrastructure to support more secure and efficient blockchain applications. These efforts are part of a comprehensive strategy to fortify the country’s digital asset infrastructure and broaden the use of cryptocurrencies within the public sector.
Distinct Stablecoins and Future Developments
The national stablecoin KGST is distinct from USDKG, a dollar-backed stablecoin backed by $500 million in gold reserves under the Kyrgyz Ministry of Finance, which was planned for launch in Q3. This differentiation allows Kyrgyzstan to leverage multiple stablecoins tailored to different economic functions.
With the legal framework and technical infrastructure in place, Kyrgyzstan’s dual stablecoin and CBDC initiative positions the country at the forefront of blockchain innovation in Central Asia, demonstrating a strong commitment to integrating digital currencies into mainstream economic operations.
The launch was confirmed publicly by Binance CEO Changpeng Zhao on social media, highlighting the strategic importance of Kyrgyzstan’s digital currency advancements and Binance’s involvement in supporting the country’s crypto ecosystem growth.
Reported by CoinDesk, October 25, 2025.