Kazakhstan has the potential to become a leading cryptocurrency hub in Central Asia if regulatory restrictions are eased, according to Kanysh Tuleushin, the country’s first vice minister of digital development, innovation and aerospace industry.
In a recent opinion piece published in the Kazakhstanskaya Pravda newspaper, Tuleushin argued that fostering digital mining and implementing strategic policy shifts could position Kazakhstan as a regional leader in blockchain innovation.
“If all restrictions were lifted and digital asset trading was allowed across Kazakhstan, the impact could be significant,” Tuleushin wrote. “Kazakhstan might become Central Asia’s crypto hub.” He suggested that broader legalization and taxation of cryptocurrency activities could inject hundreds of billions of tenge into the national budget.
Tuleushin called for the establishment of nationwide cryptocurrency regulations, transparent exchanges, and legal crypto ATMs to facilitate this growth.
His comments come after significant developments in the country’s digital asset landscape, including a memorandum of understanding signed between Binance and Kazakhstan in 2023.
Tuleushin also highlighted the potential role of cryptocurrency mining firms in modernizing Kazakhstan’s energy infrastructure. He pointed out that, similar to the United States, miners in Kazakhstan could contribute to grid stability by utilizing surplus energy.
Through the “70/30 energy initiative,” foreign investors are funding upgrades to thermal power plants, with 70% of the generated capacity allocated to the national grid and 30% directed to mining operations.
Furthermore, Tuleushin proposed using associated petroleum gas from oil fields to power data centers, a move that could reduce emissions while generating additional revenue for oil producers.
Kazakhstan’s cryptocurrency mining sector has already contributed $34.6 million in taxes over the past three years. As of 2023, the government had registered 415,000 mining machines, issued 84 licenses, and accredited five mining pools, according to Tuleushin.
Cryptocurrency trading on the Astana International Financial Centre (AIFC) exchange has seen substantial growth, surging from $324 million in 2023 to $1.4 billion in 2024. Starting in 2025, miners will be required to sell 75% of their mined assets through AIFC platforms.
