Kazakhstan to Launch Stablecoin on Solana Blockchain

Kazakhstan's National Bank launches stablecoin pilot with Solana and Mastercard.

The National Bank of Kazakhstan announced a pilot project for a stablecoin pegged to the national currency, the tenge. The initiative involves Solana and Mastercard.

The asset is named Evo (KZTE). Its issuance will be managed by participants in the regulatory sandbox, including the crypto exchange Intebix and Eurasian Bank.

Developers have dubbed Evo a “national stable coin.” Its primary aim is to connect blockchain innovations with traditional finance.

The token, pegged to the tenge, will be used to expand the crypto-fiat gateway, exchange digital assets, and support transactions via cryptocurrency cards.

The National Bank does not issue the stablecoin directly. Instead, the regulator provides a legal framework for its issuance and testing as part of its strategy to develop the virtual currency market.

The head of the National Bank, Timur Suleimenov, noted that digital assets and blockchain play a central role in creating new services and enhancing financial accessibility.

Why Do Countries Need Stablecoins?

Libertarian economist Yevgeny Romanenko told ForkLog that the initiative to create a national “stable coin” is mere mimicry. He believes the state is attempting to maintain control over the monetary system amid the growing popularity of cryptocurrencies.

The expert pointed to a global trend of authorities co-opting digital assets. According to him, this is a response to the “crypto community’s demand for mass adoption.”

Romanenko acknowledged the technical advantages of blockchain transactions over the traditional banking system. However, he argues that the primary motive of the authorities is to simplify the creation of “money out of thin air.”

From the Austrian school perspective, national stablecoins represent a continuation of interventionist policies in the economy and control over transactions. The advent of Bitcoin struck a blow to this state monopoly, and now authorities are trying to regain control by adapting to new conditions, the expert stated.

“This is mimicry, nothing more. A wolf does not cease to be a predator by donning a sheep’s skin. As for the sheep who wish to remain so, they are advised to stay vigilant,” concluded Romanenko.

In September, President of Kazakhstan Kassym-Jomart Tokayev announced the establishment of a state digital asset fund to accumulate a strategic crypto reserve.