Following a backlog of multiple MoUs and an initial “in principle” approval to operate in Kazakhstan, Binance was granted a permanent license to operate in the country.
On October 6, the Kazakhstan Financial Services Authority (AIFC) granted the permanent license to both operate a digital asset platform and provide custody services at the Astana International Financial Center.
This newly acquired permanent license grants Binance the official status of a regulated platform in the country. Gleb Kostarev, Asia Regional Head at Binance, said that this is another step in making Binance a “compliance-focused exchange.”
Kostarev highlighted Kazakhstan’s recent efforts and activities in the cryptocurrency space:
“We welcome Kazakhstan’s drive to become a leading player in the field of new digital technologies and the cryptocurrency ecosystem.”
Binance began laying the groundwork for operations in Kazakhstan earlier this year, when he signed his first Memorandum of Understanding on May 25, through which he pledged to help promote the adoption and regulation of cryptocurrencies in the country. A second followed on October 3 to help combat financial crime.
This development from Kazakhstan follows multiple actions by authorities to increase crypto-related opportunities in the country.
On September 28, Kazakhstan President Kassym-Jomart Tokayev told a local news agency that if demand increases, the government is willing to authorize a way to convert cryptocurrencies into fiat money.
In June, the Kazakhstan Ministry of Digital Development, Innovations and the Aerospace Industry launched a program to allow crypto exchanges to open bank accounts and conduct legal operations in the Astana International Financial Center.
Kazakhstan has previously had a reputation as a good place for cryptocurrency mining due to local energy prices. In the past year, the country has increased its energy consumption reporting requirements for mining companies, along with new tax guidelines with an expected impact on the industry.
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