Kyrgyzstan launched KGST, a stablecoin linked to its national currency, while simultaneously advancing a central bank digital currency pilot in one of the most comprehensive digital finance initiatives undertaken by a Central Asian country.
On Friday, President Sadyr Japarov chaired a meeting of the National Council for the Development of Virtual Assets and Blockchain Technologies, where officials announced the launch of stablecoin and outlined plans for a national cryptocurrency reserve that will include BNB tokens.
Updates from Kyrgyzstan🇰🇬
– The National Stablecoin launched, the @BNBCchain
– CBDC is ready for deployment. Yes, both. CBDC will be used for government-related payments and more.
– The National Cryptocurrency Reserve established, #BNB Understood
– LE training
– Binance Academy with 10 best… pic.twitter.com/SInh5aCPMZ– CZ 🔶BNB (@cz_binance) October 25, 2025
Former Binance CEO Changpeng Zhao attended the meeting and confirmed the developments on social media. “The National Stablecoin has been launched on the BNB chain. The CBDC is ready for deployment. Yes, both,” Zhao wrote, noting that the digital som will handle government-related payments while the stablecoin will run on public blockchain infrastructure.
The KGST stablecoin maintains a 1:1 peg to the Kyrgyz Som and operates on the BNB chain. The crypto committee has received instructions to secure the international listing of KGST and draft a cryptocurrency reserve proposal within two months, according to local media outlet KG24.
Kyrgyzstan’s dual-track approach separates government payment functions through a central bank digital currency (CBDC) from broader digital financial applications supported by the stablecoin. The National Bank of the Kyrgyz Republic will conduct a three-phase digital som pilot using a platform developed with national blockchain company Build Block TECH.
The initial phase of the pilot connects commercial banks for interbank transfers, followed by integration with the Central Treasury for government and social payments. The final stage tests offline and low-connectivity transactions before a possible nationwide rollout. The central bank previously indicated that it would decide on the full issuance of CBDCs by the end of 2026.
If launched nationally, the digital som would join a small group of central bank operational currencies, including the Bahamas Sand Dollar, Nigeria’s e-Naira and Jamaica’s JAM-DEX, according to data from cbdctracker.org.
President Japarov asked the Ministry of Economy and Trade to continue developing the legislative framework for virtual assets and coordinate the implementation of CBDCs with the central bank. The Ministry of Science, Higher Education and Innovation has received instructions to prepare training programs on blockchain and digital assets.
Zhao announced that Binance Academy will partner with 10 Kyrgyz universities to offer localized blockchain courses and integrate cryptocurrency curriculum into higher education programs. The Binance app will also receive full localization for Kyrgyz users.
“I’m also proud to have brought @ethsign to work with Kyrgyzstan. They did a great job! @yzilabs is a minority investor. We like to offer real strategic value beyond just investing money,” Zhao wrote.
The educational initiatives expand Binance’s programs in Central Asia following similar partnerships in Kazakhstan and Uzbekistan. A Binance meetup in Bishkek attracted more than 1,000 participants, according to Zhao.
The National Council for the Development of Virtual Assets and Blockchain Technologies was established earlier in 2025 to oversee blockchain development, crypto market regulation, and CBDC testing. The organization coordinates digital finance policy between several government ministries and the central bank.
Kyrgyzstan’s initiatives come as the global development of stablecoins and CBDCs accelerates. More than 100 countries are studying or developing central bank currencies, although few have reached full deployment. In Asia, Hong Kong, China and Singapore are conducting CBDC pilots, while Kazakhstan and Uzbekistan have started limited stablecoin trials with private sector partners.
The announcements coincided with Zhao’s return to public events following a pardon from U.S. President Donald Trump linked to anti-money laundering violations. Its presence in Bishkek highlights Binance’s continued influence in Central Asian political circles, as the region positions itself as a regulated destination for crypto infrastructure development.
