Uzbekistan is set to embrace stablecoins as an official payment method under a new regulatory sandbox regime, with implementation expected to begin on January 1, 2026. This move signals a significant step towards integrating digital assets into the country's financial system.
The decision to explore stablecoins and digital currencies was initially announced on September 11, 2025, by Timur Ishmetov, Chairman of the Central Bank of Uzbekistan. The Central Bank has been considering two primary directions: the introduction of a central bank digital currency (CBDC), known as the digital som, and the use of stablecoins issued by commercial banks and backed by a fixed value. Ishmetov emphasized the importance of carefully controlling the backing of digital currencies with reserves to avoid the risks associated with issuing additional money.
The regulatory sandbox, in collaboration with the National Agency for Advanced Projects (NAPP), will serve as a testing ground for stablecoins as a payment instrument. The results of this pilot project will be crucial in assessing public demand for digital currencies and evaluating practical outcomes. Uzbekistan's President Shavkat Mirziyoyev gave specific instructions to advance these initiatives during a meeting on September 10, tasking NAPP and the Central Bank with testing the use of stablecoins for settlements and implementing projects for tokenizing securities in the capital market.
Stablecoins are cryptocurrencies designed to maintain a stable value by being pegged to traditional currencies like the U.S. dollar or Euro, or to other assets such as gold. Popular stablecoins include USDT (Tether), USDC, and DAI, which are widely used for payments, money transfers, and savings due to their stability compared to more volatile cryptocurrencies like Bitcoin.
In addition to stablecoins, Uzbekistan is also exploring tokenization, which involves digitizing real-world assets like real estate, securities, gold, or artworks into blockchain-based tokens. This process enables more efficient trading and management of assets on digital platforms, potentially expanding access to the country's financial markets. As part of these initial steps towards integrating digital assets, a fintech office is being set up by the Central Bank to oversee projects, with NAPP and the Central Bank jointly approving stablecoins as a means of settlement. Projects for the tokenization of securities will also be launched concurrently.
In July 2025, the Humo payment system piloted the issuance of tokens backed by Uzbek government bonds, positioning it as a universal mechanism for cross-border settlements, including transactions with Russian companies.
Uzbekistan has been gradually developing a regulatory framework for cryptocurrencies. In April 2022, NAPP established a special regulatory sandbox regime allowing legal entities to implement pilot projects in the cryptocurrency sector. Participants in the sandbox are exempt from various taxes and customs duties, but activities related to using cryptocurrencies as a payment instrument were initially prohibited. These pilot projects have a duration of no more than three years.
