Kyrgyzstan has made a bold move into digital finance with the launch of Bereket Bank, the nation’s first private bank dedicated to cryptocurrency services. The new institution aims to handle everything from crypto custody to stablecoin operations and blockchain-based remittances, marking a major step in the country’s growing embrace of digital assets.
But the celebration didn’t last long. Confusion quickly followed after President Sadyr Japarov credited Binance founder Changpeng “CZ” Zhao as an inspiration behind the bank’s creation — a claim CZ later publicly denied.
CZ Pushes Back on Involvement
Shortly after the announcement, CZ took to X (formerly Twitter) to clarify that he had no role in launching Bereket Bank.
“I never suggested starting a bank, have no interest in running one, and don’t know the people involved,” he wrote.
The post has since been deleted, though reports suggest CZ continues to advise Kyrgyz officials on broader digital-asset policy and blockchain infrastructure.
His denial comes just days after receiving a presidential pardon in the U.S., putting him back in global headlines. While CZ insists he’s stepping away from operational ventures, his name continues to surface in discussions around emerging crypto hubs like Kyrgyzstan.
Inside Kyrgyzstan’s Digital Banking Push
Bereket Bank was founded by Nurdoolot Nurgozhoyev and Marat Sultanov, a former parliamentary speaker. The bank will operate under Kyrgyzstan’s virtual asset regime, combining traditional financial services with crypto-based products.
Officials say the institution aims to become a gateway for foreign investment and cross-border payments, strengthening Kyrgyzstan’s position as a crypto-friendly nation. This comes after a wave of digital finance projects, including trials for a national stablecoin and a digital version of the som, Kyrgyzstan’s local currency.
Sanctions and Global Pressure
Still, the country’s fast-growing crypto sector is facing international pressure. The UK recently sanctioned two Kyrgyz crypto exchanges, accusing them of links to a rouble-backed stablecoin allegedly used to evade Russian sanctions. Western authorities have also flagged some local banks for possible involvement in restricted transactions.
President Japarov dismissed the allegations as politically motivated, but the scrutiny underscores how delicate Kyrgyzstan’s balancing act has become.
For Bereket Bank, success will depend on proving it can operate transparently while supporting innovation — without becoming a target of global enforcement.
As the dust settles, one question lingers: was CZ’s denial the end of his involvement in Kyrgyzstan’s crypto experiment, or just another twist in an unfolding story?
Also Read: Japan’s Crypto Comeback Led by Banks and Regulators
