Tether, the company behind the USDT stablecoin, has entered into a Memorandum of Understanding with the National Bank of Kazakhstan (NBK) and the Alatau City Authority (ACA). The agreement, signed on October 7, 2026, establishes a framework for exploring the potential applications of stablecoins, asset tokenization, and decentralized finance.
Exploring Stablecoin and Tokenization Initiatives
Under this agreement, the parties intend to collaborate on developing a stablecoin pegged to the Kazakhstani tenge. Additionally, they plan to initiate tokenization pilot projects in Alatau City, an emerging innovation district aiming to become a hub for fintech and smart city technologies. These pilot programs may utilize Hadron, Tether’s proprietary tokenization platform. Tokenization involves converting real-world assets, such as property or loans, into digital tokens that can be managed and traded on a blockchain.
The scope of the agreement extends beyond technological implementation. It includes a commitment to studying international best practices for the issuance and regulation of stablecoins, as well as educational initiatives like workshops. The overarching objective is to promote financial stability and safeguard investor interests.
Kazakhstan has set a target to tokenize projects valued at up to $60 million within Alatau City by the close of 2026. This figure comprises two key projects: the Iconic Tower, which aims for up to $50 million in financing, and the Birlik logistics center, targeting up to $10 million.
Broader Digital Asset Ecosystem Development
This MoU with Tether follows a separate agreement signed just days prior. On October 2, 2026, the Kazakhstan Stock Exchange (KASE) signed an MoU with the Alatau City Authority focused on establishing platforms for digital financial assets (DFAs). That earlier framework also encompasses tools for multi-currency stablecoin settlements.
Alatau City is also collaborating with Dunamu to investigate the tokenization of real assets and the use of stablecoins.
The strategic approach is characterized by a layered collaboration. The central bank contributes its monetary authority, the stock exchange provides market infrastructure, and Alatau City serves as a testing ground for these innovations. Tether brings its extensive experience in operating a stablecoin at scale and offers its tokenization platform to partners.
The development of a local-currency stablecoin, such as one pegged to the tenge, could significantly enhance the currency’s presence in on-chain finance, an area where it currently has limited engagement, given the dominance of dollar-denominated stablecoins.
It is important to note that the MoU is non-binding, and the proposed tenge stablecoin is an objective for exploration rather than a finalized product. The $60 million tokenization plan is also presented as an aspirational target.
Key Developments to Monitor
Several concrete developments will be crucial to observe moving forward. Firstly, the successful completion of the tokenization for the Iconic Tower and Birlik logistics center by the end of 2026 will be a key indicator. Secondly, the choice of platform for these tokenizations is significant; if Hadron is selected, it would represent a notable operational success for Tether. Finally, the progress of the tenge stablecoin initiative in conjunction with KASE’s settlement tools will be an important area to track.
