Kazakhstan Passes New Laws to Regulate Crypto, Digital Assets, and Fintech

• Kazakhstan passes new laws recognizing digital assets and opening its crypto market.
• Licensed crypto exchanges will operate under central bank oversight and AML rules.
• Banks gain approval to expand into fintech, AI, and digital payments infrastructure.

Kazakhstan has moved to open up its crypto market after President Kassym-Jomart Tokayev signed two new laws to modernize the banking sector and bring digital assets into the country’s financial system.

The new laws update banking rules and officially recognize digital assets as part of the economy. Officials say the goal is to support fintech growth, encourage innovation, and make Kazakhstan a regional hub for digital finance.

Digital Assets Get Legal Status

The legislation introduces digital financial assets (DFAs) as a new, regulated asset class. DFAs are split into three types:

• Assets backed by fiat money, such as stablecoins.
• Tokenized assets backed by financial instruments, property rights, or goods.
• Financial instruments issued electronically on licensed digital platforms.

These assets will be issued by platforms licensed by the National Bank of Kazakhstan and regulated under rules similar to traditional financial instruments, including risk management and oversight.

Crypto Exchanges Legalized and Licensed

The new law also brings cryptocurrencies like Bitcoin under official regulation. It allows licensed crypto exchanges to operate under the supervision of the central bank.

Regulators will decide which cryptocurrencies can be traded and set rules to protect investors and prevent money laundering. At the same time, authorities are tightening enforcement, having blocked access to more than 1,100 unlicensed crypto platforms over the past year.

Banks Get Green Light for Fintech and AI

Commercial banks will now be allowed to invest in fintech firms, build digital products, and set up subsidiaries focused on areas like AI, cybersecurity, biometrics, and e-commerce. The law also introduces more flexible banking licenses to boost competition and reduce market concentration.

Banks will also be able to offer Islamic banking services within their existing structures, giving customers more financing options.

Essentially, the legislation supports Kazakhstan’s shift to a digital financial system. It enables mobile transfers, QR code payments, and transactions using the digital tenge, which is now legally recognized as national currency and overseen by the National Bank.

Related: Kazakhstan New Law Opens Crypto Mining to Private Sector Ahead of $1B Reserve

Broader Crypto Strategy

Kazakhstan has been gradually updating its crypto rules since becoming a major crypto mining hub a few years ago. While earlier regulations were strict, the latest changes show a more balanced approach that allows crypto activity while strengthening oversight.

The government has also announced plans for a $1 billion cryptocurrency reserve, with $300 million already set aside by the central bank. This move highlights its long-term commitment to digital assets.

Overall, the new laws mark a major change for Kazakhstan’s crypto market, bringing it closer to full legalization while maintaining regulatory oversight.