Kyrgyzstan's Cabinet of Ministers ordered the liquidation of the issuer of the gold-backed USDKG token and of the state-owned Coin Nomad Exchange. Holders have been told to email the issuer to redeem, and no redemption deadline has been specified.
Kyrgyzstan is closing two pillars of its state-backed crypto push. On August 20, 2026, the Cabinet of Ministers issued Order No. 639-t, which mandates the liquidation of OJSC EVA, the issuer of the USDKG stablecoin, and OJSC Coin Nomad Exchange.
Coin Nomad was the nation's first state-owned digital-asset exchange, and USDKG launched in November 2025.
UK sanctions precede the order
The move follows UK sanctions. On May 26, 2026, the UK sanctioned Virtual Asset Issuer, the token's original issuer, over suspected economic ties with Russia.
Kyrgyz officials, however, have not pinned the shutdown on London. They have presented the liquidation as part of a broader effort to improve how the state manages its assets.
Coin Nomad Exchange has moved into voluntary liquidation after a shareholder vote on September 3, 2026. Creditors have until around October 14, 2026, to file claims.
What USDKG holders face
USDKG is a dollar-pegged stablecoin set at 1:1 with the US dollar and backed by physical gold. As of the liquidation announcement, approximately 50 million USDKG tokens were listed as circulating, and the token was still trading close to $1 on various platforms.
Kreston Global initially verified the reserves at about 376 kg of gold, worth approximately $50.3 million at the time.
Holders have been told to email the issuer and request redemption in fiat currency or USDT. No redemption deadline has been specified, and detailed verification procedures have not been laid out.
The next date to watch is the October 14, 2026 creditor deadline at Coin Nomad.
Source: Crypto Briefing
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