News

A new stage in digital asset regulation has begun in Kazakhstan. The country's leader, Kassym-Jomart Tokayev, approved a law introducing a number of significant amendments to the circulation of cryptocurrencies. A key improvement concerns stablecoins: they can now be used in international payments by both commercial organizations and government agencies. The document emphasizes the importance of developing specific mechanisms for this application, which will provide Kazakhstani companies with additional opportunities for export-import transactions. Although the details are not yet clear, the legalization itself, at the level of a presidential decree, sets a certain direction for development.

Besides the payment aspect, the law concerns capital repatriation. The Kazakh government intends to create favorable conditions for the voluntary declaration of digital assets currently held on foreign, unregulated exchanges. It is expected that holders will transfer their assets to the platforms of local operators operating under state supervision. This step is intended to increase market transparency and boost capital inflows into the national economy. The government is not pressuring, but offering incentives, including tax breaks.

Among the most significant measures is the exemption of citizens from income tax on income received from cryptocurrency transactions, provided that these transactions are processed through regulated Kazakh infrastructure. This decision should make national platforms more attractive to private investors, who previously preferred foreign services due to more favorable tax regimes. They now have an economic incentive to remain within Kazakh jurisdiction.

The decree places special emphasis on mining, specifically the use of associated gas for cryptocurrency mining. Associated gas is a mixture of hydrocarbons produced alongside oil and natural gas. This resource is widely used by miners worldwide, but Kazakhstan imposes a clear restriction: its use for crypto mining is permitted only when not required for state needs. This formulation allows the government to reduce or completely halt mining activities at any time to ensure energy security.

The Ministry of Digital Development, Innovation, and Aerospace Industry of the Republic of Kazakhstan, the National Bank, and the administration of the Astana International Financial Center participated in the development of the decree. The latter is a special economic zone where all companies engaged in mining and cryptocurrency activities in the country are required to register. Thus, the decree not only establishes new rules but also confirms the AIFC's status as the central regulating body for the entire industry.