Binance founder Changpeng Zhao has urged Kyrgyzstan to consider incorporating Bitcoin and BNB as the foundation for its proposed National Crypto Reserve, signaling a deepening relationship between the Central Asian nation and the global crypto industry.
Zhao’s recommendation came on May 5, shortly after he was invited to join Kyrgyzstan’s National Crypto Council, a newly formed advisory group focused on digital asset strategies. The invitation followed a two-day visit with President Sadyr Japarov by Lake Issyk-Kul, where both parties discussed the country’s vision for a blockchain-driven economy.
President Japarov highlighted Kyrgyzstan’s ambitions, stating:
“We presented Kyrgyzstan’s potential in developing a digital economy and demonstrated the richness of our culture and the uniqueness of our national identity through a specially prepared cultural program.”
Zhao’s visit coincided with a new agreement between Binance and Kyrgyzstan’s National Investment Agency, which aims to accelerate crypto adoption and digital finance education across the region. A key part of the partnership includes the deployment of Binance Pay, a payment platform enabling cryptocurrency transactions and easing cross-border remittances within the Eurasian Economic Union.
As part of its broader digital asset strategy, Kyrgyzstan is also planning to launch a gold-backed stablecoin pegged to the U.S. dollar. Dubbed USDKG, the token is scheduled for release in Q3 2025 and will be initially backed by $500 million in gold reserves held by the Ministry of Finance. That reserve is expected to grow to $2 billion over time.
Unlike traditional gold-pegged tokens, USDKG will maintain a fixed 1:1 peg to the U.S. dollar, with the gold serving as collateral rather than dictating price. Officials noted that the token will be overcollateralized to mitigate risks from gold price volatility and will be redeemable in fiat, crypto, or physical gold.
These developments mark Kyrgyzstan’s strategic pivot toward a crypto-integrated financial system, with Binance and its founder playing a central advisory role. Zhao’s proposal to include Bitcoin and BNB in the national reserve plan could position Kyrgyzstan as a forward-looking example of sovereign crypto adoption.
