This law was signed on January 19, 2026, and will come into effect 10 days after its official publication.
The new document introduces a number of important concepts into legal practice.
In particular, it establishes the legal status of stablecoins — virtual assets that are backed and intended to maintain their value at the level of fiat currency or underlying assets.
The procedure for their issuance, backing, and circulation will be determined by the President of the Kyrgyz Republic.
Additionally, the law introduces the term tokens, which are backed by real assets (RWA Token).
These tokens represent virtual assets backed by property rights to real objects or digital forms of documented obligations.
The President's competence also includes defining the list of such assets and the rules for their regulation.
A separate section clarifies provisions regarding state mining and the creation of a state cryptocurrency reserve. State mining can be conducted either with the participation of the state or through a specially established enterprise for this purpose, and will be aimed, among other things, at forming a crypto reserve.
This cryptocurrency reserve is intended to enhance financial stability and promote the development of the digital economy.
According to the new law, the issuance of only backed virtual assets is permitted on the territory of Kyrgyzstan. The norms regarding the issuance and initial placement of virtual assets, including stablecoins and RWA tokens, have also been expanded.
A mechanism for special regulatory regimes, known as regulatory sandboxes, is introduced, which will allow testing new technologies and services in the field of virtual assets in a controlled environment. The procedure for their implementation will be determined by the President, while licensing participants will be handled by the authorized body.
The law also redistributes powers among various state bodies:
- the policy and regulation of the virtual asset market will be formed by the President;
- control and supervision will be carried out by the Cabinet of Ministers.
Furthermore, the procedure for registering miners has been clarified: a certificate for conducting mining will be issued for an unlimited period, provided that all necessary requirements are met.
The Cabinet of Ministers has been instructed to bring subordinate legislation in line with the new law within two months.
