Blockchain and Cryptocurrency Association Formed in Kazakhstan

Announcements, Blockchain, News | December 13, 2017 By:

A group of companies in Kazakhstan have formed the Blockchain and Cryptocurrency Association. The group has applied for recognition from the Kazakhstan government as a legal entity to begin the official activities.

The Kazakhstan Blockchain and Cryptocurrency Association was founded by six organizations with 15 others desiring to join them. The association aims to support blockchain and help develop a legislative framework for the technology.

Yesset Butin, co-founder and council chairperson of the association, said that the association’s main goal is to prescribe the rules of the game in the blockchain market and cryptocurrency in Kazakhstan together with the regulator – the National Bank. He added that there are no companies operating in the blockchain market in Kazakhstan, but there are more companies that see the promise of technology for themselves.

“First, we must follow world trends,” Butin said. “The Russian Association of Blockchain and Cryptocurrency has already been created and literally within a month they managed to achieve certain results. Belarus announced the imminent emergence of such an association. We believe the time has come to create such an association here to unite organizations and companies that work in the blockchain market or plan to work in the cryptocurrency markets.”

In addition to working with state financial regulators, the association will also collaborate with universities to introduce blockchain educational course offerings.

According to Butin, a “cryptotenge” issued by the National Bank would support the creation of a legal platform for buying cryptocurrency in tenge, the country’s fiat currency, as the cryptotenge would be easily convertible to other popular tokens.

Kazakhstan has already taken various steps to investigate cryptocurrency and its underlying technology. In October, the Astana International Financial Center (AIFC) partnered with Malta-based investment company Exante to develop a blockchain platform that will serve as the foundation for the new digital asset secured by fiat. The parties also agreed to cooperate in developing the AIFC-act on the regulation of the digital assets market and support the evolution of the FinTech-ecosystem of the AIFC, using Exante’s knowledge and experience in blockchain projects.