Kazakhstan is ready to launch a pilot cryptocurrency project in the economic zone of the international financial center of Astana. This will provide exchange platforms to operate legally in the international financial center of Astana this very year.
The country has also made progress in regulating cryptocurrency mining, but has now taken another step in order to boost the adoption of digital assets in the country. This massive move comes right after Binance CEO Changpeng Zhao visited the country.
This pilot project will be a form of cooperation between exchange platforms and some local banks in the country. This news was announced by the Ministry of Digital Development, Innovations and Aerospace Industry of the Republic of Kazakhstan.
The decision to approve the pilot was made by a special working group that created the rules to be applied when exchanges interact with banks.
Learn more about the Kazakhstan Crypto Pilot
This decision will mainly facilitate a collaboration between exchanges and second-tier Kazakh banks. As mentioned above, a special working group is said to have formulated these guidelines which will be adhered to by crypto exchanges and banks.
The relevant working group includes representatives from the Ministry of Digital Development, the National Bank, the Financial Supervision Agency, the Association of Financiers, the Astana International Financial Center as well as finance and banking stakeholders. digital asset market.
Reportedly, the pilot project will run until the end of 2022.
He also mentions that the partnership between the crypto exchange and tier 2 banks will give the exchanges a license that will allow them to manage digital assets or cryptocurrencies.
This license will be granted by the new Astana Financial Service Authority (AFSA). He will also help draft a plan for further development of Kazakhstan as a regional crypto hub.
Closing guidelines should be downloaded from the Astana International Financial Center (AIFC) webpage.
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Create an environment for reliable and sustainable businesses to operate in the country
The largest crypto exchange in the world, Binance had helped Kazakhstan take its first steps in developing and formulating digital asset regulations.
The country reportedly decided to develop the cryptocurrency industry. With the help of Binance and key ministries, the Astana hub will evolve into an international digital asset hub.
AFSA chief Nurhat Kushimov said the mission of the committee is to be able to create an environment for sustainable and reliable businesses, said,
The Astana Financial Services Authority is the only entity responsible for regulating the activities of fintech companies in Kazakhstan. Before handing over the license to a fintech company, we perform a thorough and thorough background check and then maintain its constant monitoring.
In May, the Kazakh parliament adopted in first reading the amendments to the national tax code to introduce a tax on crypto-mines which will be linked to the price of electricity by mining institutions.
Suggested reading | Binance and Kazakhstan Sign Memorandum of Understanding on Crypto and Blockchain Regulation
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Kazakhstan Will Now Allow Crypto Exchanges To Have Their Bank Accounts
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