Binance Launches a Regulated Platform in Kazakhstan

Binance announces the launch of its digital asset platform in Kazakhstan, providing users with crypto exchange conversion.

Photo for the Article - Binance Launches a Regulated Platform in Kazakhstan
  • Binance, while facing charges in the United States, is launching a regulated digital asset platform in Kazakhstan.
  • The platform will offer services such as cryptocurrency exchange, conversion, fiat deposit and withdrawal, and custody of crypto assets.
  • The official launch took place on June 20, 2023, with government officials, banking representatives, and Binance Kazakhstan leadership in attendance.

Despite facing charges in the United States, global cryptocurrency firm Binance announced the launch of a local regulated digital asset platform in Kazakhstan. The platform will provide Kazakhstani users with services for exchanging and converting cryptocurrencies, depositing and withdrawing fiat currencies, as well as custody for their crypto assets.

Binance in Kazakhstan

Last October, Binance said it had the go signal to establish a digital asset platform after obtaining a license from the AIFC Financial Services Authority (AFSA). The license also allows the firm to offer custodial services within the Astana International Financial Center (AIFC).

Photo for the Article - Binance Launches a Regulated Platform in Kazakhstan

“The permanent license also gives Binance the status of a regulated platform in Kazakhstan, testifying to its robust compliance and security controls,” Binance noted.

The firm stated that the new local entity is authorized to offer exchange and conversion services, deposit and withdrawal of fiat currencies, custody of crypto assets, and trading.

In a statement, the crypto exchange shared that the official launch of the platform was held at a press event on June 20, 2023, where Kazakhstani government officials, banking industry representatives, and Binance Kazakhstan leadership were present. 

“Over the past year, regulators in Kazakhstan have taken significant steps towards the development of the cryptocurrency industry,” Asset Turysov, Vice Minister of Digital Development, Innovation and Aerospace Industry of Kazakhstan stated. 

Turysov added that Binance provided the country’s regulators support in establishing a legislative framework and policies in regulating crypto assets. Moreover, the vice minister noted that Kazakhstani leaders also collaborated with law enforcement agencies to implement educational initiatives. 

Accordingly, Zhaslan Madiyev, General Manager of Binance Kazakhstan, acknowledged the productive collaboration between Binance and five regulatory bodies in Kazakhstan, including the AFSA, National Bank, Financial Market Regulation and Development Agency, and Financial Monitoring Agency noting that the exchange expresses gratitude to the regulators for their substantial contribution to the cryptocurrency industry’s development in the country.

Madiyev also expressed his gratitude to the Kazakhstan regulators for their continuous engagement with Binance which allowed the firm to expand its product line for the local users. According to him, the exchange currently has “no less than 100 digital assets approved and available on the platform.”

Binance vs. US SEC Charge

On June 5, 2023, Binance and its CEO Changpeng Zhao faced charges from the US Securities and Exchange Commission (US SEC) for violating securities laws. The accusations centered around the alleged offering and selling of digital asset securities to US residents without proper registration with the SEC. 

The SEC further alleged that Binance operated as an unregistered securities exchange and failed to provide necessary disclosures to investors. As a result, 12 coins and tokens, including Solanam, Cardano, Filecoin, Cosmos, Algorand, Binance Coin, Binance USD, Polygon, The Sandbox, Decentraland, Axie Infinity Shards, and COTI, were identified by the SEC as securities.

Read: RIPPLE EFFECT? Web3 Personalities React to US SEC vs Binance, Coinbase Battle; PH Lawyer Says Case Could Influence Local Regulators

Binance International Presence 

The company also faced regulatory scrutiny in other countries; last May Binance withdrew from Canada following the introduction of new regulatory guidelines. Additionally, its derivatives license in Australia was canceled during a regulatory investigation.

Despite these challenges, the company still holds licenses in various jurisdictions, such as Thailand, and Italy.

In the Philippines, the latest information states that it is aiming to secure a crypto license and e-money license. This week, however, think tank Infrawatch renewed its calls for the local regulators to suspend Binance in the country.

This article is published on BitPinas: Binance Launches a Regulated Platform in Kazakhstan

Disclaimer: BitPinas articles and its external content are not financial advice. The team serves to deliver independent, unbiased news to provide information for Philippine-crypto and beyond.

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