A financial institution and a coin trading platform in Kazakhstan have teamed up to carry out what they say is the country’s first such joint transaction for the acquisition of cryptocurrency. Meanwhile, Kazakhstan’s leadership has declared readiness to further develop crypto exchange in the nation’s financial hub.
Kazakhstan opens the door to legal coin purchases in its first banking operation with crypto assets
Eurasian Bank in Almaty and Intebix, Kazakhstan’s crypto exchange, reported having conducted the transaction. It involved a crypto asset trading platform and an institution. At the Digital Bridge 2022 forum, this deal was made in which local fiat was used to acquire cryptocurrency.
“This precedent makes it possible for Kazakhstanis to legally purchase cryptocurrencies for tenge, while Eurasian Bank’s proprietary solution made it possible to set one of the lowest fees in the world for such a transaction,” the bank said in a press release. Talgat Dosanov, Director of Intebix Exchange, claimed:
It is the first transaction between cryptocurrency exchange bank-client on the whole Eurasian continent.
Under certain conditions, pilot regulations were approved by the regulators in May to allow crypto transactions in Kazakhstan. To participate in this project, cryptocurrency exchanges will need to get a license. While banks must follow the established rules and regulations. It is claimed that the structure meets international standards regarding security and transaction supervision.
The process of buying crypto with Kazakhstani tenge was demonstrated to the country’s head of state. President Kassym-Jomart Tokayev expressed his administration’s readiness to support the further development of the project to facilitate crypto asset exchange in the Astana International Financial Center (AIFC), the Central Asian nation’s financial hub, if the trial is successful.
Tokayev stated that Kazakhstan intends be a major player in the new digital technology, cryptocurrency ecosystem, and regulated mining. “If this financial instrument shows further demand and security, then it will certainly receive full legal recognition,” he was quoted as saying.
When registered cryptocurrency exchanges were granted access to domestic banks, this pilot project launched at the AIFC. The tests are being conducted by Intebix, a trading platform that operates under Biteu in Australia and the EU, as well Halyk Bank and Altyn Bank and Eurasian Bank. This pilot will continue until 2022.
Eurasian Bank has also revealed plans to issue crypto cards this year. This card will connect to the Intebix wallet. Holders will then be able spend digital coins and pay in tenge. The details are being worked out with the National Bank of Kazakhstan. Eurasian Bank ranks seven among Kazakhstan’s banks in terms of assets and is a leader in the retail banking market.
What do you think about the potential for a fast increase in cryptocurrency-fiat banking activities in Kazakhstan? Let us know your thoughts in the comment section.
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