Kyrgyzstan Launches $50M Gold-Backed Payment Access To Modernize Cross-Border Payments

Kyrgyzstan has officially launched USDKG, a gold-backed payment access pegged 1:1 to the U.S. dollar, with an initial issue of $50 million. The access is issued on digital platform and fully audited by ConsenSys Diligence.

The issuer, OJSC Virtual Asset Issuer, is a state-owned entity under the Ministry of Finance, operating within the legal framework established by the 2022 Law on Virtual Assets of the Kyrgyz Republic. The initiative represents a first-of-its-kind model in Central Asia, merging sovereign oversight with blockchain transparency.

The launch ceremony was attended by Sadyr Japarov, President of the Kyrgyz Republic, Almaz Baketaev, Minister of Finance, and Biibolot Mamytov, CEO of Gold Dollar, the project’s operator. During the event, the dignitaries pressed a symbolic “Launch Issuance” button, officially initiating the circulation of USDKG access.

The issuance of USDKG is carried out by a company with 100% state participation, ensuring a high level of investor trust and institutional reliability. A total of 50,000,000 USDKG have been issued, each fully backed by physical gold reserves. Operational control — including gold management — is delegated to a private company registered in the Kyrgyz Republic, under a contractual agreement with the USDKG issuer.

The company responsible for managing USDKG’s gold reserves, has outlined plans to expand the backing to $500 million in the next phase, with a long-term target of $2 billion.

The new access is fully compliant with FATF KYC/AML standards, and redemptions require standard identity verification. It is designed to facilitate financial inclusion.

Kyrgyzstan is among the first nations in the region to establish a comprehensive digital-asset regulatory framework, setting a precedent for state-supervised virtual currencies. Government representatives emphasized that such initiatives aim to enhance economic transparency and trade efficiency, rather than serve any geopolitical agenda. Officials also noted that USDKG complements, rather than competes with, the national monetary system.

The Kyrgyz initiative underscores a broader trend toward responsible digital-asset innovation in emerging markets. The government’s focus on regulatory discipline, transparency, and tangible reserves signals a pragmatic approach to blockchain-based modernization.

With USDKG, Kyrgyzstan positions itself as a regional first-mover in regulated asset-backed digital currencies — both bridging traditional finance and blockchain infrastructure and maintaining full sovereign oversight.

Media contact

Gold Dollar — USDKG

[email protected]

www.usdkg.com

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