After a build-up of multiple memorandums of understanding (MoU) and an initial “in-principle” approval to operate in Kazakhstan, Binance received a permanent license to operate in the country.
As of Oct. 6, the Republic of Kazakhstan’s AIFC Financial Services Authority (AFSA) granted the permanent license to both manage a digital asset platform and provide custody services at the Astana International Financial Center.
This newly acquired permanent license gives Binance official status as a regulated platform in the country. Gleb Kostarev, Asia Regional Head at Binance, said this is another step for Binance being a “compliance-focused exchange."
Kostarev highlighted Kazakhstan’s recent efforts and activities in the crypto 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 it signed its first MoU on May 25, through which it pledged to help further crypto adoption and regulation in the country. Followed by a second on Oct. 3 to help fight financial crime.
Related: Kazakhstan’s central bank ‘isn’t going to ignore’ the crypto market
This development out of Kazakhstan follows multiple actions by authorities to increase the crypto-related opportunities in the country.
On Sept. 28 the president of Kazakhstan, Kassym-Jomart Tokayev, told a local news agency that if demand increases the government is ready to authorize a way to convert crypto to fiat.
In June, the Ministry of Digital Development, Innovations and Aerospace Industry of the Kazakhstan Republic launched a program that allowed crypto exchanges to open bank accounts and run legal operations in the Astana International Finance Center.
Kazakhstan has previously held a reputation as a good place for crypto mining due to local energy prices. Over the last year, the country ramped up its power consumption reporting requirements for mining companies, along with new tax guidelines with a projected impact on the industry.