Binance obtains permanent license from AFSA to become a regulated platform in Kazakhstan

The biggest crypto exchange in the world Binance has marked a massive presence in Kazakhstan. According to a recent announcement by the exchange, it was granted a permanent license to operate in Kazakhstan following the creation of several memorandums of understanding (MoU) and an initial “in-principle” authorization to operate in the country.

On October 6, the AIFC Financial Services Authority (AFSA) of the Republic of Kazakhstan issued a permanent license to operate a platform for digital assets and offer custody services at the Astana International Financial Center.

With the recent acquisition of a permanent license, Binance now has legal recognition as a regulated platform inside the nation. This is another move toward Binance becoming a “compliance-focused exchange,” according to Gleb Kostarev, Binance’s Asia Regional Head. Kostarev counted the nation’s recent efforts and developments in the crypto space by stating:

“We welcome Kazakhstan’s drive to become a leading player in the field of new digital technologies and the cryptocurrency ecosystem.”

Binance signed its first Memorandum of Understanding (MoU) on May 25 and set the stage for operations in Kazakhstan by promising to support the expansion of crypto usage and regulation there. then another on October 3 to aid in the battle against financial crime.

This Kazakh breakthrough comes after a number of government initiatives to broaden the country’s crypto-related potential.

On September 28, the country’s president, Kassym-Jomart Tokayev, informed a local news organization that if demand rises, the government is prepared to approve a method of converting cryptocurrency to fiat.

The crypto-friendly approach by Kazakhstan

Cryptocurrency exchanges are now able to create bank accounts and conduct legal business within the Astana International Finance Center according to a scheme that was introduced in June by the Kazakhstan Republic’s Ministry of Digital Development, Innovations, and Aerospace Industry.

Due to affordable energy, Kazakhstan has historically had a favorable reputation as a location for cryptocurrency mining. The nation increased its power consumption reporting requirements for mining businesses during the previous year, along with new tax regulations with anticipated effects on the sector.