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Policy & Regulation

Binance CEO meets Kazakhstan president to collaborate on crypto adoption and regulation

26 May 2022 : 10:26
2 min read
  • Binance signed MOU with the Kazakhstan to strengthen the "virtual asset market development" in the nation.
  • CZ will help in development of legislative guidelines and regulatory policies for cryptocurrencies.
  • The Ministry and the exchange giant will also work for the establishment of a regional blockchain hub.

The founder and CEO of the world’s biggest crypto exchange platform Binance, Changpeng Zhao (CZ), has recently met the Kazakhstan President Kassym-Jomart Tokayev, First Deputy Chief of Staff Timur Suleimenov, and the minister managing the country’s digital innovation strategy Bagdat Musin.

Binance signs MOU with Kazakhstan

On Wednesday, Binance signed a memorandum of understanding (MOU) with the Kazakhstani government to strengthen the “virtual asset market development” in the nation.

The MOU signing will enable Binance to contribute to developing legislative guidelines and regulatory policies for digital assets. As per the official statement, the Ministry of Digital Development, Innovations and Aerospace Industry of the central Asian country is seeking “opportunities to integrate banking infrastructure within the cryptocurrency market and facilitate the development and implementation of distributed ledger technology.”

During the meeting, they addressed the potential for long-term cooperation in digital finance between Kazakhstan’s relevant agencies and Binance and the implementation of cooperative educational programs in blockchain technologies. The Ministry and the exchange giant will also work together to promote Astana Hub among local and global talent, allowing for the establishment of a regional blockchain hub.

The official visit of Changpeng Zhao solidifies the exchange’s commitment to try its hands in a variety of fields.

Kazakhstan to make crypto mining sustainable

By adopting Chinese mining power following the latter’s broad crackdown on the industry, Kazakhstan has emerged as a key player in the Bitcoin (BTC) market. Several mining firms have relocated their operations to the nation to take advantage of the low-cost, plentiful fuel, and favorable regulatory conditions.

However, the country’s Bitcoin mining boom appears to be weakening, as the flood of miners put a strain on the country’s energy supply, prompting the government to restrict miners’ access to electricity. In February, as Cryptonary reported, the Kazakhstan president called for increased taxation on crypto mining due to heavy power usage. The country has also cracked down on 106 illegal crypto miners, ceasing their operations in the nation.

Anisha Pandey

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