Kazakhstan is advancing a dual approach to digital currencies by testing its central bank digital currency (CBDC), known as the digital tenge, alongside the Evo stablecoin, in a bid to establish itself as a hub for crypto.
In September, the National Bank of Kazakhstan launched the Evo stablecoin in partnership with Solana and Mastercard, marking a significant milestone for state-backed stablecoins globally. Meanwhile, the central bank has been developing the digital tenge, which was officially introduced in 2023.
“When discussing the Evo stablecoin and the digital tenge, we see not competition, but rather opportunities for integration and interoperability,” Berik Sholpankulov, deputy governor of the National Bank of Kazakhstan, stated.
“当谈论Evo稳定币和数字天格时，我们看到的不是竞争，而是整合与互操作的机会。”
Sholpankulov further noted that the ongoing pilot for the digital tenge is bringing in new participants and that legislative efforts are underway to recognize it as legal tender, equating it to traditional fiat currency.
Stablecoins for Specific Ecosystems, CBDC for Interbank Transactions
Sholpankulov described privately issued stablecoins, such as Kazakhstan’s Evo, as tokens associated with specific ecosystems, while emphasizing that the digital tenge, being a product of the national bank, is acknowledged as legal tender and plays a crucial role in interbank transactions.
“The coexistence of these two currencies can be identified as a ’two-tier system’: where the digital tenge furthers monetary policy and interbank settlements, while stablecoins serve practical uses for businesses and consumers,” he added.
Discussing the rise of stablecoins over CBDCs, Dossanov mentioned that several nations, particularly those with less stable currencies, find CBDCs essential to maintain financial sovereignty and minimize dependence on foreign-backed currencies.
For Kazakhstan, establishing the digital tenge as a CBDC is key to upholding the independence and sovereignty of its national payment framework.
Kazakhstan’s strategy further aims for it to emerge as Central Asia’s dominant crypto hub.
In conjunction with other groundbreaking measures, the country has initiated regulations allowing fees to be paid in stablecoins and launched one of the region’s first spot Bitcoin funds.
On Thursday, Timur Suleimenov, chairman of the National Bank of Kazakhstan, met with Changpeng Zhao, Binance’s former CEO, to discuss the upcoming KZTx stablecoin and related initiatives.
At the same event, Pavel Durov, co-founder of Telegram, met with President Kassym-Jomart Tokayev, where they announced plans for an AI research lab in Astana.
