The National Bank of Kazakhstan stated that it will collaborate with Tether to research a stablecoin pegged to the local currency, as well as a tokenization scheme for real-world assets.
The Central Bank of Kazakhstan has signed an agreement with Tether to explore a stablecoin pegged to the local currency, as well as the potential uses of digital currencies.
Both parties will also develop a framework for tokenizing real-world assets and plan to advance pilot projects under the special legal system of Altay City.
It is alleged that the Hadron tokenization platform of Tether may be used for this project, but this agreement does not imply that Kazakhstan commits to issuing a stablecoin or adopting this technology.
The Central Bank of Kazakhstan is collaborating with stablecoin giant Tether to explore the issuance of a digital token pegged to the country's currency, and to bring real-world assets onto the blockchain.
The National Bank of Kazakhstan ( NBK ), Tether , and the Administration of Alatai City stated in a press release on Wednesday that the three parties have signed a memorandum of understanding to study stablecoins, asset tokenization, and decentralized finance.
One of the focuses will be on potential stablecoins linked to the Kazakhstani tenge. The team plans to study how similar tokens operate in other places, determine their possible uses, and prepare proposals for pilots. This agreement is exploratory in nature and does not imply a decision has been made to issue such a stablecoin.
This collaboration will also put tokenization on the agenda. Tokenization creates a blockchain-based representation of assets, which may enable various types of assets, from bonds to real estate, to be transferred, traded, or used as collateral over digital networks. The parties will determine which types of assets are suitable for tokenization and plan to conduct pilots in Alatai. Alatai is a city that operates under a special legal system, part of which is designed to encourage the development of fintech.
The Hadron platform of Tether provides the infrastructure for issuing and managing tokenized assets, which is one of the technologies being considered for this project.
Tether is best known as the issuer of USDT. USDT is the largest US dollar stablecoin in the world, with a circulation of about $140 billion. Tether also issues XAUT, which is a tokenized gold product backed by physical gold bars stored in Swiss vaults, with a scale of about $3.3 billion.
As Tether seeks to build a broader range of financial and digital asset businesses, the company has expanded its operations beyond stablecoins, with investment areas covering energy, payments, commodities, and tokenized infrastructure.
Kazakhstan has been advancing the construction of its digital asset framework, while also ensuring close involvement of the central bank in this process.
NBK Vice President Binur Zhalenov stated: "As part of the pilot project for tokenization, we intend to conduct a comprehensive study of international best practices in stablecoin issuance and the tokenization of real-world assets."
Tether and the authorities of Kazakhstan will also organize seminars for central bank staff and other government agencies, covering topics such as stablecoin reserves, issuance, and tokenization.
