Binance will assist in the development of the Republic of Kazakhstan's legal framework and regulatory policies for crypto-assets.
On May 25, the world’s leading cryptocurrency exchange Binance announced that it signed a memorandum of understanding (MOU) with the Ministry of Digital Development, Innovations and Aerospace Industry of the Republic of Kazakhstan to explore “virtual asset market development” in the country.
The MOU was signed during the Czech Republic’s official visit to Kazakhstan where Changpeng Zhao (CZ), CEO of Binance, met with President of Kazakhstan Kassym-Zhomart Tokayev, First Deputy Chief of Staff of the President of Kazakhstan, Timur Suleimenov, and Minister of Digital Development, Innovation and Aerospace Industry of the Republic of Kazakhstan, Bagdat Musin.
Did you know?
Want to get smarter & wealthier with crypto?
Subscribe - We publish new crypto explainer videos every week!
How do Cryptocurrency Exchanges Work? (Easily Explained!)
The agreement dictates that Binance will have to aid the central Asian country in the development of regulatory policies for cryptocurrency-related assets and its legal framework.
The Republic of Kazakhstan's Ministry of Digital Development, Innovations, and Aerospace Industry, as well as Binance, will look for ways to incorporate financial infrastructure into the crypto market while assisting the development and deployment of distributed ledger technology.
Binance and the Republic of Kazakhstan’s Ministry of Digital Development, Innovations, and Aerospace Industry will look for ways to incorporate financial infrastructure into the crypto market and assist the development and deployment of blockchain technology.
The Minister of Digital Development, Innovation, and Aerospace Industry Bagdat Musin has stated:
“As a global leader among crypto exchanges, Binance takes responsibility for the whole ecosystem. Together with CZ, we considered the Binance roadmap in Kazakhstan.”
He also added that the country has explored the possibility of establishing a blockchain-focused venture capital fund and academy to assist local “Astana Hub”, the largest international technology park of IT startups in Central Asia, talent in going worldwide. Musin believes that Kazakhstan has the potential to become a central hub for global cryptocurrency players.
CZ also outlined that Binance's key aim is to increase crypto usage globally “to have a positive impact on society as a whole” as Kazakhstan is one of the leading countries in the cryptocurrency mining business. Zhao continued and stated that:
“The country was one of the first in the world to introduce the legalization of mining. We believe that, in full cooperation with the local authorities, Binance can make a great contribution to the development of the local crypto community and blockchain ecosystem in Kazakhstan.”
In other news, earlier this year, Binance announced that it would invest in the P2E platform Merit Circle which will seek to create a worthwhile space for gamers with the approaching "NFT and metaverse fund.”
On top of that, back in February, Kazakhstan’s Ministry of Energy was looking to implement restrictions on unauthorized mining operations due to various concerns about electricity shortage. It was reported that the authorities have already managed to close down 13 mining farms that were pulling over 200MW.
