Published
10/28/2026, 09:49Kyrgyzstan continues to develop a regulatory framework for the virtual asset market, including the tokenization of real assets. Amendments to the “Law on Virtual Assets,” signed by President Sadyr Japarov in January 2026, defined the concepts of a stablecoin and a real-world asset-backed token (RWA Token).
The amendments provide for the regulation of the issuance and initial offering of secured virtual assets, including stablecoins and RWA tokens. Only secured virtual assets may be issued within the country.
The legislation also provides for the creation of regulatory sandboxes. Under this framework, new financial products may be tested within a specific territory and for a set period of time.
In May 2026, the National Agency for Virtual Assets and Blockchain Technologies was established under the President. Some of the functions of the State Financial Supervisory Authority were transferred to the new agency, while the State Financial Supervisory Authority retained certain supervisory and licensing powers.
The scale of the country’s virtual asset market is also growing. In 2025, the total turnover of virtual asset service providers amounted to 2.7 trillion KGS. In addition, Kyrgyzstan issued its first state-backed stablecoin, the USDKG.
Against the backdrop of the growing global market for tokenized shares, these changes lay the groundwork for the development of digital financial instruments. However, the regulations on RWA tokens do not, in and of themselves, automatically authorize the trading of tokenized shares of foreign companies in Kyrgyzstan. Their legal status and the requirements for platforms depend on applicable legislation and regulatory decisions.
