With Central Bank’s Blessing, Georgia Taps Tether for 'Official' Stablecoin
Tether announced plans to launch a stablecoin named GELT, pegged to the Georgian lari, in partnership with Georgia’s government. This initiative highlights Georgia’s ambition to become a crypto hub aligned with U.S. regulations. GELT aims to provide near-instant settlements, lower transaction fees, and integrate Georgia’s traditional banking sector with its digital economy. This marks one of the first instances of a national currency being put directly on blockchain rails under a tailored legal framework. Georgia’s regulatory foundation for digital assets aligns with standards like the U.S. GENIUS Act, covering reserve management, redemption rights, and oversight. While Tether issues several fiat-pegged tokens, GELT is notable for being developed with explicit national government support. GELT is not a central bank digital currency (CBDC); it is a privately issued stablecoin, in contrast to government-controlled CBDCs, which have raised privacy concerns. Georgia has previously allowed tax payments in digital currency and explored digital lari pilots with Ripple, further indicating its embrace of digital finance innovation.
