Kazakh President Kassym-Jomart Tokayev has signed a bill allowing the mining and distribution of cryptocurrencies outside the Astana International Financial Center (AIFC).
According to reports, the new law is part of Kazakhstan’s efforts to expand its regulatory framework for digital assets.
Related: Kazakhstan plans to invest $1 billion crypto reserve fund in ETFs instead of coins
End of AIFC monopoly: miners gain freedom
The law dismantles a system in which AIFC-based companies held priority rights in mining and trade. Effective 60 days after publication. The deregulation comes even as global energy markets tighten and U.S. scrutiny of mine power consumption increases.
The new rules grant individual entrepreneurs and legal entities the right to mine and distribute crypto assets. This permission is subject to obtaining the necessary licenses. The state currently allows the distribution of unsecured digital assets, but imposes strict compliance oversight on licensed providers.
New data privacy standards for cryptocurrency trading
Under the new arrangement, Kazakh crypto miners no longer have to route the majority of their sales through AIFC-based exchanges. Such miners can trade with other independent trading platforms without restrictions.
On the other hand, there are limits on the processing period of personal data during cryptocurrency transactions. Banks and virtual currency exchanges can retain consents only for as long as necessary to achieve the purpose for which they are obtained.
Preparing for further national cryptocurrency movement
It is worth noting that the latest revisions to crypto mining regulations are in line with the country’s broader crypto plans. Kazakhstan previously announced a proposal to create a national crypto reserve that is expected to hold up to $1 billion worth of digital assets. The proposed reserves include forfeited digital currencies and shares in crypto-related companies.
According to reports, the government of Kazakhstan plans to launch a proposed cryptocurrency reserve in 2026, which analysts believe will boost the adoption of the technology in the region of the world.
Related: Kazakhstan sets strict 2026 deadline for national cryptocurrency reserves
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