Kazakhstan launches Evo stablecoin with Solana and Mastercard
Kazakhstan is making waves in the digital finance world. It has recently launched its new Evo stablecoin, a project developed with the help of the tech giants Solana and Mastercard. This digital currency is linked directly to the Kazakhstani tenge. Its aim is to combine the growing crypto market with the well-established world of traditional finance.
The National Bank of Kazakhstan is at the heart of this initiative, launching the pilot project within its special Digital Assets Regulatory Sandbox. The Evo stablecoin, or KZTE as it’s known, is issued by Intebix, a crypto exchange that’s part of the sandbox, and Eurasian Bank, a local financial institution, with important support from Solana and Mastercard. Talgat Dossanov, the founder of Intebix, has confirmed that the KZTE, which is based on the Solana blockchain, is already being tested by the central bank. Mastercard is also set to integrate it with other global stablecoin issuers.
This “national stablecoin” is more than just another digital token; it’s designed to act as a vital bridge between crypto innovation and traditional financial systems. Imagine it’s easier to convert crypto into regular money, swapping crypto for other crypto is quicker, and you can use crypto with special cards – these are all ways people could use the KZTE stablecoin. The National Bank sees this project as an important part of its plan to develop a strong national digital asset ecosystem, creating new digital tools and encouraging the growth of Kazakhstan’s digital asset market.
What makes this particularly noteworthy is the central bank’s active involvement. Intebix and Eurasian Bank are the technical issuers, but the National Bank is more than just a passive regulator. It is actively providing the regulatory framework to enable the stablecoin’s issuance and testing. Dossanov said that this was an unusual step for a central bank to take, as it usually doesn’t get involved in the development of stablecoins.
The Governor of the National Bank, Timur Suleimenov, said how important the launch was at the Evo opening event. He said that the digital age brings challenges and opportunities. He said that digital assets and blockchain technology are very important for introducing new services, getting more people using banks, and making the country better.
The launch of the Evo stablecoin fits perfectly within Kazakhstan’s ambitious digital asset strategy. The country is already exploring the idea of a state-run crypto reserve. In September last year, the Astana Financial Services Authority officially approved the use of stablecoins that are linked to the US dollar, including Tether (USDt), for paying license and supervision fees. Kazakhstan has also become an important country for mining Bitcoin. In 2022, it was one of the countries that distributed the most hashrate. The country has also been looking into central bank digital currencies (CBDCs), having launched its own digital tenge in November 2023, which has already shown good results in making VAT refunds faster.
