The Kyrgyz central bank has partnered with blockchain security firm CertiK to develop a long-term framework aimed at strengthening cybersecurity, risk management and regulatory oversight for the country’s digital currency.
Cooperation Framework Takes Shape
The National Bank of the Kyrgyz Republic (NBKR) has formed a strategic partnership with blockchain security firm CertiK to improve security measures for the country’s proposed Digital Som and strengthen oversight of digital assets.
Under a memorandum of understanding signed by both parties, the Kyrgyz central bank and CertiK will work together on cybersecurity, digital asset custody, anti-money laundering (AML) measures and counter-terrorism financing (CFT). The initiative brings CertiK into a central-bank operational framework and could provide a model for technical integration within highly regulated state financial institutions.
Sanzhar Abdygaziev, a member of the NBKR management board, said the memorandum of understanding “creates a framework for continued dialogue and cooperation.” He added that the central bank sees particular value in sharing experience and expertise in blockchain and digital asset security, cybersecurity, AML/CFT, as well as the analysis and monitoring of digital asset transactions.
As central banks worldwide assess central bank digital currencies (CBDCs) and digital asset frameworks, the agreement emphasizes integrating technical security and formal verification measures during the infrastructure design phase instead of addressing them after deployment.
“Digital asset infrastructure needs security and risk management to be addressed from the earliest design stages through ongoing operations,” said Ronghui Gu, co-founder and chief executive officer of CertiK. “We look forward to applying CertiK’s expertise and experience to our long-term partnership with the NBKR and supporting the secure growth of the country’s digital asset ecosystem.”
Regulatory Tools and Knowledge Sharing
Under the agreement, the NBKR will consider using CertiK’s supervision and compliance tools for real-time transaction monitoring, regulatory guidance and licensing standards. The partnership also provides for technical training and knowledge sharing among central bank personnel.
CertiK’s work in Kyrgyzstan builds on the firm’s wider involvement with regulatory frameworks around the world. The security company has previously offered technical guidance to U.S. regulators and taken part in public consultations conducted by the Monetary Authority of Singapore.
The CertiK-NBKR agreement follows the third meeting of Kyrgyzstan’s National Council for the Development of Virtual Assets and Blockchain Technologies, chaired by President Sadyr Japarov. During the meeting, Japarov reaffirmed that creating a secure and properly regulated digital asset ecosystem remains a state policy priority.
Japarov also directed the National Agency for Virtual Assets and Blockchain Technologies (NAVA) to introduce updated legislative amendments and bylaws within three months, with the aim of strengthening the country’s regulatory framework.
