Legal Crypto In Kazakhstan

Overview of Cryptocurrency in Kazakhstan

Legality of Cryptocurrency

Cryptocurrency is not prohibited in Kazakhstan since its official recognition by the Kazakh Agency for Financial Market Regulation and Development in October 2017. Cryptocurrency payments are banned everywhere except for special pilot zones like the CryptoCity project in Alatau. Only the AIFC-registered bourses are allowed to introduce, list or keep cryptocurrency. Kazakhstan adopted legislation to regulate the exchange of cryptocurrencies for national currency in May 2025, the law mandated operators to obtain licenses and conform to new regulations in the country.

Regulation of the Cryptocurrency Market

Kazakhstan itself operates in a dual rule-making system where the national laws are combined with the AIFC regulations. The main laws are listed in the table sharing, including laws regarding license, classification of digital assets, pilot areas, mining, and a national crypto bank. Some of these regulations are similar to the European requirements, focusing on licenses, transparency, and AML and KYC compliance.

Regulation	Description	Effective Date
Licensing Requirement	Exchanges must register with the National Bank and obtain a license.	May 2025
Digital Asset Classification	Defines crypto assets and their operational scope.	May 2025
CryptoCity Pilot Zone	Allows crypto payments for goods, services, and real estate in Alatau.	May 2025
Miner Revenue Rule	Miners must sell 75% of revenue through registered exchanges.	February 2023
National Crypto Bank	Regulates all crypto transactions to formalize operations.	Announced March 2025

Kazakhstan’s Crypto Mining Dominance

One of the world’s biggest cryptocurrency mining centers, the country is set apart by its plentiful energy supply of coal and natural gas, which are used to run vast facilities. By 2022, the country hosted about 18% of the global Bitcoin mining hash rate, next in line to the United States after China banned crypto mining. The government has used this leverage through rules such as the February 2023 rule which makes it mandatory for miners to sell at least 75 percent of the revenue raised by registered stock exchanges. Its energy diversification policy aimed at incorporating renewable energy, including solar and wind, to support mining activities sets it apart as a sustainable crypto mining hub in Central Asia.

Well-known Cryptocurrency Exchanges

There is very little information about the exchanges that are available in Kazakhstan, but reputable services allow you to trade KZT for Bitcoin and alternative coins. Non-AIFC-registered exchanges cannot legally operate and market entry for compliant platforms has been opened under the licensing regime, due in 2025. Global platforms, such as Binance, presumably predominate, with local ones rising under the regulations.

Cryptocurrency Exchange Methods

Exchange market options There are licensed crypto exchanges under the authority of the National Bank that allow trading with fiat (KZT) or other cryptocurrencies. A crypto cards trial, introduced in June 2025, permits users from regulated exchanges to spend fiat directly from digital asset wallets. The special regulatory sandbox site where the pilot will be held, in the Afanasovsky district, is the only site where in the whole of Kazakhstan it will be possible to use digital currencies directly to make payments for goods, services, and real estate.

DeFi Market in Kazakhstan

The DeFi market in Kazakhstan is still nascent and DeFi has not yet been regulated. The wider digital asset framework and CryptoCity pilot zone offer a glimmer of potential for experimentation, but if that remains focused on centralized exchanges, DeFi development is unlikely to penetrate without being embedded in the AIFC framework. Web3, meanwhile, Interest in Web3 and fintech, as evidenced in posts on X, suggests the possibility of future DeFi uptake, should they make use of Kazakhstan’s mining infrastructure for DeFi protocols remain upon the possibility of leveraging Kazakhstan’s mining infrastructure going forward.

NFT Market in Kazakhstan

Not much is known about Kazakhstan’s NFT market, which is quite underexposed. As for the digital asset classification in May 2025, it probably includes NFTs, and the permission of CryptoCity pilot zone to invest in real estate through cryptocurrencies may encompass tokenized assets or NFTs. Its own mining prowess, coupled with the ambitions of Kazakhstan to become a Central Asian hub for crypto, could point to an expansion of NFT markets, particularly in digital art or tokenized real estate.

Useful Information

• Crypto Transaction Reporting: Both people and businesses need to report crypto-related income to the State Revenue Committee, and the tax rate depends on income type (e.g., capital gains or business income).
• Mining Energy Regulations: Compliance is a Must: Miners are subject to capping of energy consumption in order to avoid grid overload, which is particular to Kazakhstan's high energy-consuming mining sector.
• AIFC Legal Support: AIFC offers legal support to crypto companies that need to handle the process of registration, as well as also in fulfilling compliance requirements.
• Crypto Education Efforts: The government has collaborated with the universities Astana and Almaty to establish blockchain and crypto classes, which has enable homegrown talent to blossom.
• Cross-Border Crypto Limits: Unlicensed cross-border crypto movements are capped in Kazakhstan in a bid to prevent money outflow, a measure imposed by the Financial Monitoring Agency.
• Public Blockchain Projects: The government is currently investigating a national blockchain platform for the tokenised issuance of government bonds, making it a first for the public sector in Kazakhstan.
• Local Crypto Groups: The Kazakhstan Blockchain Association hosts meetups and workshops in Astana to bring together crypto-minded individuals and experts.

Conclusion

Kazakhstan, the country which backed by these measures, became a forerunner in providing a clear legal approach to cryptocurrency with licensing, the CryptoCity pilot zone and a proposed national crypto bank. Its first-tier status as a worldwide crypto mining center, led by abundant energy and renewable energy projects, whips it stiff in the crypto world. Although the DeFi and NFT ecosystem is still emerging, Kazakhstan’s modern attitude, mining clout and educational programs mark it as the potential crypto hub in the region with licensed exchanges and crypto card programs making entering the sector easier.