Kazakhstan Taps Solana, Mastercard for Tenge Stablecoin

Kazakhstan’s central bank is launching a pilot project to issue a new stablecoin pegged to the local fiat currency in collaboration with Solana and Mastercard.

The National Bank of Kazakhstan announced the launch of a stablecoin project within the framework of its Digital Assets Regulatory Sandbox, according to a statement shared with Cointelegraph on Tuesday.

The new Evo (KZTE) stablecoin is pegged to the Kazakhstani tenge currency and is issued by sandbox participant Intebix crypto exchange and local lender Eurasian Bank, with assistance from Solana and Mastercard.

Based on the Solana blockchain, KZTE is immediately live within the central bank’s regulatory sandbox, and Mastercard is set to connect KZTE with global stablecoin issuers, Intebix founder Talgat Dossanov told Cointelegraph.

National stablecoin to bridge crypto and TradFi

Kazakhstan’s Evo stablecoin is described as a “national stablecoin” designed to connect crypto innovation with traditional finance.

Use cases for the KZTE stablecoin include expanding the crypto-fiat channel, enabling cryptocurrency exchange and supporting transactions through crypto cards.

“The project is part of the National Bank’s strategy to build a national digital asset ecosystem, fostering innovative digital tools and the development of Kazakhstan’s digital asset market,” the announcement noted.

While the Evo stablecoin is technically issued by Intebix and the Eurasian Bank, the National Bank of Kazakhstan is participating in the project by providing a regulatory regime to allow its issuance and testing.

“It’s still the first case where the central bank is taking a proactive role in the issuance of the stablecoin,” Dossanov told Cointelegraph.