Kazakhstan aims to enhance crypto trading framework | The Financial Express

Kazakhstan aims to enhance crypto trading framework

Kazakhstan’s central bank suggested beginning commercial operations for a central bank digital currency (CBDC) in 2025

According to AFSA's analysis, there are "contradictions, inefficient provisions, and uncertain definitions within the regime" that need to be addressed.
According to AFSA's analysis, there are "contradictions, inefficient provisions, and uncertain definitions within the regime" that need to be addressed.

Kazakhstan, published a consultation paper to ascertain public interest in suggested changes to strengthen the regulatory environment for cryptocurrency trading, as reported by Cointelegraph.

According to Cointelegraph, on January 27, the Astana Financial Services Authority (AFSA), a Kazakh regulatory body, published the policy paper. The AFSA emphasised that the amendments aim to introduce some enhancements to the Digital Asset Trading Facility (DATF) regulatory framework, which was established by the Astana International Financial Centre in 2018.

According to AFSA’s analysis, there are “contradictions, inefficient provisions, and uncertain definitions within the regime” that need to be addressed. It also suggested implementing risk mitigation measures on a number of fronts, including governance, illegal activity, safekeeping of clients’ funds, and settlement.

On the other end of the spectrum, Kazakhstan’s central bank suggested beginning commercial operations for a central bank digital currency (CBDC) in 2025 after a phased expansion of functionality starting in 2023, Cointelegraph further noted.

According to Binance CEO Changpeng “CZ” Zhao’s announcement in October 2022, Kazakhstan’s CBDC will be integrated with BNB Chain, a blockchain created by the cryptocurrency exchange.

(With insights from Cointelegraph)

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First published on: 31-01-2023 at 17:01 IST