Kyrgyzstan has introduced a new national stablecoin, USDKG, backed by gold reserves and pegged 1:1 to the US dollar. The initial issuance exceeds $50 million, totaling 50,140,738 units, and is managed by a state-owned enterprise under the Ministry of Finance. The stablecoin is primarily intended for cross-border payments and international trade. The Ministry of Finance plans to increase the supporting reserves to $2 billion.
In a related development, the Kyrgyz government has ordered a nationwide halt to cryptocurrency mining activities due to electricity shortages.
Kyrgyzstan Launches Gold-Backed Stablecoin USDKG
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