Kazakhstan’s President signs the law on mandatory licensing of miners

The document is designed to legalize the issuance and turnover, as well as the mining of digital assets in the country

06.02.2023 - 15:00

1677

2 min

What’s new? On February 6, the President of Kazakhstan Kassym-Jomart Tokayev signed a law on digital assets, which provides for mandatory licensing for companies engaged in cryptocurrency mining. The agency Prime reports, citing statements from the press service of the president.

News on the agency’s website

Details about the law. The law “On Digital Assets in the Republic of Kazakhstan” was adopted by Parliament on January 26. The main purpose of the document is to create a regulatory framework for the issuance and turnover of digital assets, as well as mining in the country. The adoption of the law is designed to legalize the market, attract foreign investment and increase revenues to the state budget.

Cryptocurrency mining companies are required to obtain a license, provide income information and pay the appropriate taxes. There are two categories of licenses for market participants: for miners, who own data centers, and owners of equipment, who rent premises in data centers. In this, all miners must work through accredited local pools.

Earlier, Kazakhstan completed testing of the digital tenge platform. Later, the Central Bank issued recommendations on the deployment of the asset. The first phase suggests that the asset will become available as early as 2023, with further expansion of functionality and the introduction of the asset into commercial operation by the end of 2025. Also, the Central Bank will integrate the digital tenge with the BNB Chain from the Binance crypto exchange.

Author: