The AFSA has granted formal consent for the complete operation of the Binance Kazakhstan license.
The Astana Financial Services Authority has granted Binance formal consent to obtain a complete regulatory license.
The exchange announced that its Kazakhstan operation had successfully completed a multi-stage, highly complex approval process. This included surviving internal and external regulatory examinations, as well as external financial audits and ISO certifications for IT systems. The company conducted comprehensive evaluations to guarantee that Binance Kazakhstan adhered to stringent regulatory standards and maintained high operational standards.
After conducting a comprehensive analysis and due diligence, the authority responsible for regulating financial and non-financial services at AIFC, AFSA, has granted Binance Kazakhstan’s application in-principle approval. The Binance Kazakhstan license will also enable the exchange to engage in crypto trading, principal investment transactions, and digital asset custody.
Kazakhstan has recently become a significant market for cryptocurrency firms, particularly in the wake of the 2021 crackdown by China on crypto mining, which compelled numerous miners and digital asset companies to relocate to the region. The Binance Kazakhstan license approval provides the exchange with a solid foundation. However, the regulatory environment in the country is not as straightforward, and as a result, not all foreign exchanges have been able to satisfy the local regulatory threshold.
In the interim, Coinbase attempted to establish a presence in Kazakhstan; however, it encountered some resistance when it was required to make difficult regulatory decisions. In December 2023, it was blocked for failing to comply with Kazakhstan’s digital asset law. This was due to the fact that it traded uninsured cryptocurrencies, which are rigorously prohibited under the current state of Kazakhstani regulation.
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