Published
10/07/2026, 13:08The state-backed crypto project USDKG is being wound up less than a year after its launch. A notice has appeared on the official website stating that operations are ceasing, including on blockchain networks. Token holders are being offered the option to exchange their tokens for fiat currency or USDT.
USDKG was launched in November 2025 as a gold-backed stablecoin pegged one-to-one to the US dollar. The state-owned company ‘Issuer of Virtual Assets’ OJSC, whose sole founder was the Ministry of Finance, was responsible for its issuance. The project did not even reach its first anniversary.
The scale of the project at launch was said to be considerable. As ‘Akchabar’ previously reported, citing the Financial Supervisory Authority, the registered issue amounted to 50,140,738 tokens with a face value of $1 each. This amounts to more than $50.1 million, or approximately 4.38 billion KGS. The state duty for registering the issue alone amounted to 438,500 KGS.
The state is now winding up the issuer. The basis for the cessation of USDKG’s operations is cited as a decree of the Cabinet of Ministers dated 20 August 2026. The token itself is not mentioned in the document; however, the Ministry of Finance has been explicitly instructed to wind up OJSC ‘EVA’ – as the issuer is now known – and OJSC ‘Coin Nomad Exchange’, Kyrgyzstan’s first state-owned cryptocurrency exchange. The official explanation is to optimise the state’s involvement in companies and improve the efficiency of state asset management.
During the USDKG’s short existence, its issuer managed to fall under sanctions and change its name. On 26 May 2026, the UK added OJSC ‘Virtual Asset Issuer’ to its sanctions list as part of the Russian sanctions regime. As early as 28 May, the company was re-registered as OJSC ‘EVA’.
The name has become shorter, but the legal entity remains the same. No official comment has been made regarding the link between the sanctions and the renaming.
For USDKG holders, the main issue now is the token exchange. Enquiries should be sent to hello@usdkg.com. The options listed are fiat currency or USDT. However, the notice does not specify a deadline for redemption, a detailed exchange procedure or the method for calculating payments.
The financial scale of the wind-up also remains unclear. This is because the registered issue of $50.1 million does not necessarily mean that all these tokens ended up with investors. The notice does not disclose how many USDKG tokens remain with holders or the total amount to be returned.
