The Astana Financial Services Authority (AFSA) of the Astana International Financial Centre (AIFC) has provided the Binance Kazakhstan crypto exchange with a full regulatory license. From now on, the company is eligible to control the platform for cryptocurrency trading and exchange, act as a broker-dealer and provide custodial services in terms of digital assets in the country, Binance Kazakhstan said in a statement.
Kazakhstan is the first state in Central Asia to give a regulatory license to Binance. The crypto exchange described the whole licensing process as not an easy one, as it included a comprehensive examination, internal and external audits and certification under the regulations of the International Organization for Standardization (ISO). Moreover, the regulator assessed the exchange platform by the regulations related to AIFC digital assets, business activities, business operations, anti-money laundering legislation and other applicable laws.
According to Vishal Sacheendran, head of Regional Markets at Binance, Kazakhstan plays a crucial role in the cryptocurrency industry, serving as a key center for innovation and growth in the region. A well-thought-out legal framework and a strong commitment to creating a safe and competitive environment have made the country an ideal place for developing digital asset trading, he emphasized.
Sacheendran also noted that by obtaining a full regulatory license, Binance Kazakhstan is contributing to the broader development of the cryptocurrency ecosystem in Central Asia. He expressed hope for continued innovation and the further adoption of cryptocurrencies in Kazakhstan and beyond.
The crypto exchange already has similar approvals in France, Italy, Lithuania, Poland, Sweden, India, Australia and Japan, among others. By issuing the license, Kazakhstan is positioning itself as an attractive jurisdiction for executing the crypto deal.
In the spring of 2022, President Kassym-Jomart Tokayev held a meeting with Binance Founder Changpeng Zhao (recently freed on parole following money laundering and other fraud charges), during which they discussed issues related to the establishment of the regional crypto industry hub in Kazakhstan.
At the end of 2023, the former head of Binance Kazakhstan and current Minister of Digitalization Zhaslan Madiyev revealed that Kazakhstan’s ambitions in this sphere go beyond the creation of a regional cryptocurrency hub as the country wants to set new global benchmarks. He also mentioned the country’s plans to become one of the world’s main centers for developing blockchain technology and the crypto industry more generally.
