The Ministry of Finance of the Kyrgyz Republic has announced the registration in Kyrgyzstan of USDKG, which it describes as the world’s first state-owned stablecoin backed by physical gold. Registration was carried out by the State Service for Regulation and Supervision of the Financial Market, and the token is intended to track the US dollar at a 1:1 rate. USDGK is to be backed by physical gold under state control and is being implemented as an approved pilot project aimed at developing the digital economy and strengthening financial sovereignty. The Ministry also clarified that the project is separate from the proposed national stablecoin KGST and the digital som initiatives being considered by the National Council for the Development of Virtual Assets and Blockchain Technologies. The first issuance of USDKG and listings on centralized and decentralized platforms are planned in the coming days. A separate notice is due to be published before issuance with details of the mechanism, issuance volume and issuance date.