Binance has added a new stablecoin to its platform, and this one is different.
Kyrgyzstan’s som-pegged stablecoin, KGST, is now live for trading on the world’s largest crypto exchange. The announcement came directly from President Sadyr Japarov on Wednesday, signaling another major step in the country’s fast-moving digital asset plan.
🇰🇬 The president of Kyrgyzstan announced an upcoming Binance listing of KGST, a Kyrgyz stablecoin backed 1:1 by the som. How cool is that? pic.twitter.com/ryrdBi1yjk
— Telbloggram (@Telbloggram) December 25, 2025
This is not just a token listing. It is part of a bigger strategy.
According to Japarov, KGST is designed to make cross-border payments smoother and cheaper while connecting Kyrgyzstan more deeply with the global crypto economy. For a landlocked nation of roughly 7 million people, that is a big deal.
Binance CEO Changpeng Zhao also confirmed that KGST will not be the last. He hinted that more government-backed digital currencies are expected to arrive on the exchange soon.
Zhao’s involvement goes beyond listings. In April, he entered an advisory role with the Kyrgyz government. His job is to provide technical expertise and strategic guidance. Since then, the country has moved quickly, rolling out new crypto policies and launching state-backed tokens at record speed.
In September, Kyrgyzstan approved new laws that laid the foundation for a national crypto reserve and wider digital asset growth. Soon after, it introduced USDKG, a dollar-pegged stablecoin backed by physical gold reserves. That token launched on the Tron network with an initial supply of 50 million units, and Ethereum support is already in the pipeline.
Kyrgyzstan is not alone.
Around the world, governments and financial institutions are exploring stablecoins tied to local currencies, not just the US dollar.
Japan launched its first yen-backed stablecoin in October through Tokyo-based JPYC, backed by bank deposits and government bonds. In December, SBI Holdings partnered with Startale Group to develop a regulated yen stablecoin, targeting a 2026 launch under strict Japanese oversight.
Europe is moving too. A group of ten banks announced plans for a euro-pegged token through Amsterdam-based Qivalis, with approval from the Dutch Central Bank expected ahead of a late 2026 rollout.
Even the Middle East is joining in. UAE telecom giant e& signed an agreement with Al Maryah Community Bank to explore a dirham-backed stablecoin for everyday consumer payments, aligning with the country’s push for regulated digital finance.
Despite these experiments, dollar-backed stablecoins still dominate the market. According to DefiLlama, total stablecoin market capitalization stands at $308.9 billion, with Tether and Circle controlling most of the supply.
But the trend is clear.
Countries want payment systems that reflect their own currencies, regulations, and economic priorities. The listing of KGST on Binance shows that national stablecoins are no longer just ideas. They are becoming real tools in the global crypto economy.
And this shift is only getting started.
