Kyrgyzstan Launches $50M Gold-Backed Stablecoin, Halts Mining
- Kyrgyzstan introduces gold-backed stablecoin and stops mining operations.
- Kyrgyzstan rolls out USDKG, its gold-backed stablecoin.
- Mining halt impacts local cryptocurrency activities.
Kyrgyzstan issued $50.4 million in the gold-backed stablecoin USDKG and halted mining activities nationwide. This move supports the nation’s digital asset policy, overseen by the Ministry of Finance and JSC “Virtual Assets Issuer.”
Kyrgyzstan has issued $50.4 million worth of the gold-backed stablecoin USDKG and halted mining across the nation. The move signifies a shift in the country’s digital asset policy.
- Kyrgyzstan introduces gold-backed stablecoin and stops mining operations.
- Kyrgyzstan rolls out USDKG, its gold-backed stablecoin.
- Mining halt impacts local cryptocurrency activities.
This shift in Kyrgyzstan’s policy underlines a strategic approach to digital currencies, enhancing financial reliability and energy conservation.
Kyrgyzstan’s Ministry of Finance has officially launched the USDKG stablecoin, valued at $50.4 million, backed by sovereign gold reserves. As stated by the Kyrgyz Ministry of Finance, “Once introduced, USDKG will serve as a financial instrument combining the time-tested reliability of the precious metal with the transparency of blockchain systems.”The mining halt aims to realign nation-wide energy usage and financial regulation strategies.
The stablecoin issuance involves the Ministry of Finance, JSC “Virtual Assets Issuer,” and the State Service for Regulation of Financial Markets. Key actions include issuing USDKG and enforcing mining bans to focus on new crypto monetary plans.
Mining operations ceasing nationwide is set to reduce electricity demand, impacting local proof-of-work cryptocurrencies. This consequently decreases domestic hash rates, affecting Bitcoin network activity within the country.
The financial implications involve a $50.4 million peg to gold, intended to eventually expand reserves to $500 million. Politically, this enhances Kyrgyzstan’s stance in blockchain technology adoption.
Long-term outcomes could include wider digital currency integration and energy resource stabilization. Historical trends show mining bans lead to hash rate shifts, potentially mirroring China’s prior impact on global crypto markets.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Zero-Knowledge Startup Secures $9M Funding, Introduces Gamified Verification to Bridge Privacy and Compliance
- Zero-knowledge identity protocol Self raised $9M in seed funding led by Greenfield Capital and SoftBank's fund, alongside angel investors like Casey Neistat and Polygon's Sandeep Nailwal. - The startup launched a points program incentivizing on-chain identity verification using ZKPs and verifiable credentials, partnering with Google , Aave , and Velodrome to bridge privacy-compliance gaps. - By enabling biometric passport verification and Aadhaar integration without exposing sensitive data, Self aims to
Gavin Wood Supports Acurast’s Decentralized Computing Revolution Driven by Smartphones
- Acurast, a smartphone-based decentralized computing project, secured $11M in funding led by Ethereum co-founder Gavin Wood and others. - The platform launched its mainnet on November 17, aiming to transform 150,000 smartphones into secure compute nodes for confidential tasks. - By leveraging hardware-backed security and eliminating intermediaries, Acurast challenges traditional data centers while addressing privacy and environmental concerns. - Despite scalability challenges, the project's 494 million pr
Crypto wallets are transforming into comprehensive platforms, connecting Web3 with traditional financial services
- D'CENT Wallet's v8.1.0 update enables multi-wallet management for up to 100 accounts, streamlining digital asset handling across investment, NFTs, and events. - Competitors like Exodus and Blaqclouds advance crypto adoption through features like Mastercard-linked debit cards and decentralized identity systems with biometric security. - Innovations such as fee-free transactions (D'CENT GasPass) and on-chain identity management (.zeus domains) highlight industry focus on accessibility and security for main
Grayscale's Public Listing: Advancing Crypto Adoption as Regulations Vary Worldwide
- Grayscale files U.S. IPO via S-1, joining crypto firms like Circle and Bullish in public markets. - IPO details remain undetermined, contingent on SEC review and market conditions. - Japan's TSE tightens crypto listing rules amid volatile "crypto hoarding" stock collapses. - U.S. regulators advance crypto rulemaking post-shutdown, potentially accelerating Grayscale's approval. - Grayscale's IPO highlights crypto's institutional push amid global regulatory divergence.
Trending news
MoreCrypto prices
More
