Binance has secured formal consent from the Astana Financial Services Authority to operate as a fully regulated trading platform in Kazakhstan.
Crypto exchange Binance has moved a step closer to becoming the first fully regulated trading platform in Kazakhstan after securing formal consent for a full regulatory license from the Astana Financial Services Authority.
In a Sept. 6 announcement, the exchange said that the approval for its local branch Binance Kazakhstan positions it as potentially the first crypto exchange in the region with a full license. The exchange says its branch had to pass a series of external financial audits, secure ISO certifications for its IT systems, and undergo a “series of internal and external audits and regulatory inspections.”
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Once the full license is granted, Binance Kazakhstan will be authorized to operate a virtual assets trading facility, handle principal investments, and offer custody services for cryptocurrencies, the press release reads.
Kazakhstan has become an increasingly attractive market for cryptocurrency companies, especially after China’s crackdown on crypto mining in 2021 drove miners and digital asset firms to the region. However, access to Kazakhstan’s market remains highly regulated, and not all foreign exchanges have been able to navigate the country’s stringent regulatory landscape.
In contrast to Binance’s successful path, U.S.-based crypto exchange Coinbase was blocked from operating in Kazakhstan in December 2023 due to violations of the country’s digital asset laws. The Ministry of Digital Development cited the trading of uninsured cryptocurrencies on Coinbase’s platform as a breach of Clause 5, Article 11 of Kazakhstan’s Law on Digital Assets, which restricts the circulation of such assets.
Read more: Binance unveils local crypto exchange in Kazakhstan
