KGST Launches as Kyrgyzstan Preps Digital Som Pilot

Stablecoin KGST Launches as Kyrgyzstan Preps Digital Som Pilot

Written by Aaron S.,

Editor-In-Chief

Last Updated: October 27, 2025

Key Takeaways

Kyrgyzstan has launched KGST, a stablecoin pegged to its national currency, built on the BNB Chain to support local and global crypto use;
The crypto council has two months to present a digital asset reserve plan and aims to list KGST on international exchanges;
A three-phase pilot for a digital som is underway, starting with banks, followed by treasury payments, then offline transaction testing.

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Kyrgyzstan has introduced a new stablecoin called KGST, which is tied to the Kyrgyzstani som at a 1:1 value.

The KGST token is built on the BNB BNB $1,172.30 Chain, and if the reserve plan is approved, BNB will be one of the supported assets.

Former Binance $11.15B CEO Changpeng Zhao confirmed the news during a recent meeting of the National Council for the Development of Virtual Assets and Blockchain Technologies, which was also attended by President Sadyr Japarov.

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According to KG24, a local news outlet, the country’s crypto council is expected to push for KGST to be available on global exchanges. It also has two months to present proposals for forming a national digital asset reserve.

Additionally, President Japarov has advised the Ministry of Economy and Commerce to continue working on laws to regulate virtual assets. He also directed the National Bank of the Kyrgyz Republic to begin testing the digital som.

The testing process will be carried out in three phases. First, commercial banks will be linked to allow transactions between users.

Then, the system will connect to the Central Treasury to support public payments and social programs. Lastly, the focus will shift to how the system performs in areas with limited internet access, including offline transactions.

After all stages are tested, KGST is expected to be made available across the country.

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