CZ Removes Post Denying Involvement in Kyrgyzstan's New Crypto Bank

In a recent development, Changpeng Zhao, the founder of Binance, has deleted a post from his X account in which he refuted claims regarding his involvement with Kyrgyzstan's newly sanctioned Bereket Bank, a financial institution aimed at supporting digital assets and attracting foreign investments.

Key Takeaways

Changpeng Zhao deleted a post denying his connection to Kyrgyzstan's Bereket Bank, raising questions about his initial claims.
President Sadyr Japarov alleged that Zhao suggested a private crypto bank in 2024.
The Bereket Bank is approved by the National Bank of Kyrgyzstan and aims to support the country’s crypto initiatives.
Zhao has a history of collaboration with the Kyrgyz government on cryptocurrency-related development.
The Kyrgyz government is also exploring a central bank digital currency, indicating wider crypto ambitions in the region.

CZ Deletes Post Denying Role in Kyrgyzstan's New Crypto Bank

CZ Deletes Post Denying Role in Kyrgyzstan’s New Crypto Bank

This action comes in response to statements made by Kyrgyzstan's President Sadyr Japarov during a local media interview, where he claimed that Zhao proposed the establishment of a private crypto bank in their meeting back in May 2024.

The National Bank of Kyrgyzstan gave the green light to Bereket Bank as part of the country’s broader strategy related to cryptocurrencies. Reports indicate that President Japarov's son, Nurdoolot, is among the founders of the bank, along with former Parliament Speaker Marat Sultanov. Despite the familial connection, Japarov asserted that the bank operates independently of governmental control or ownership.

Conflicting Statements Create Uncertainty

Initially, Zhao reacted to the media narratives claiming that he proposed the creation of the bank by firmly stating that these claims were incorrect. He expressed that he had never indicated any interest in founding a bank and did not identify with the aforementioned bank's name. However, his subsequent deletion of the denial post from his account without further explanation has stirred doubt regarding the validity of his statements.

The contradictory remarks appeared following a report from Coin Bureau that tied Zhao to the formation of the bank, leading the publication to issue a correction. In a detailed interview with Kabar news agency, President Japarov conveyed that Zhao had approached him in May about the potential for opening a digital bank together. Japarov noted that Zhao expressed no interest in a state-owned bank but was open to collaborations on a private venture centered around virtual assets.

Japarov also defended his son's involvement, stating that both Nurdoolot and his brother, Rustam, hold expertise in economics and finance and are focused on attracting foreign investment instead of seeking political power. “Isn’t it better for them to be busy with their personal affairs rather than getting involved in government affairs?” he commented during the interview. He further asserted that Zhao’s engagement in Kyrgyzstan signifies international trust in the nation's commitment to fighting corruption and advancing developmental efforts.

Ongoing Collaboration Between Zhao and Kyrgyzstan

Despite denying his involvement in the bank, Zhao has significantly collaborated with the Kyrgyz government from 2024 through 2025. In April, the National Investment Agency, under Japarov's directorate, signed a memorandum of understanding with Zhao aimed at enhancing Kyrgyzstan’s cryptocurrency and blockchain framework, which includes infrastructural initiatives, technical guidance, and educational programs.

This collaboration was solidified during talks designed to position Kyrgyzstan as a progressive center for digital finance. By October, Zhao had announced several developments during the National Council for the Development of Virtual Assets and Blockchain Technologies meeting. These projects included the initiation of a national stablecoin on the BNB Chain, preparations for launching a central bank digital currency (CBDC), the establishment of a national crypto reserve that includes BNB, partnerships with Binance Academy for ten local universities, and the complete localization of the Binance app in Kyrgyz.

Furthermore, Zhao has initiated partnerships between Kyrgyzstan and other blockchain businesses, including EthSign, which he described as providing significant strategic benefits beyond mere financial input. In May 2025, Zhao also attended discussions at Issyk-Kul Lake, where officials deliberated on the implementation of Binance Pay for national crypto transactions and the expansion of blockchain education.

“Honored to be invited by Mr. President Sadyr Japarov of Kyrgyzstan to join the National Crypto Council,” Zhao remarked at that time. He has also been serving as a strategic adviser for Kyrgyzstan’s crypto committee since April 2024, helping to shape regulatory frameworks and blockchain innovations that extend beyond simple trading uses.

Growing Crypto Ambitions in the Region

In March, Azat Peruashev, a member of Kazakhstan's parliament, urged his government to consider establishing a national crypto bank due to concerns that up to 90% of cryptocurrency trading occurs outside of governmental oversight. He emphasized that a state-run institution could help reduce tax evasion, fraud, and capital flight commonly associated with unregulated exchanges.

CZ Deletes Post Denying Role in Kyrgyzstan's New Crypto Bank

Recently, the Kyrgyz government has confirmed intentions to pilot its digital currency, the som, in three distinct phases. This rollout will first include interbank transactions, followed by integration with the Central Treasury for governmental payments, with the final phase being offline transaction testing.

The National Bank plans to finalize its assessment to potentially launch the CBDC by 2026.