Crypto exchange Binance obtains preliminary approval to operate in Kazakhstan

Crypto exchange Binance obtains preliminary approval to operate in Kazakhstan

By Hassan Maishera - min read

Binance, the world’s leading cryptocurrency exchange, has won another battle in its quest for global dominance. 

The cryptocurrency exchange announced via a blog post on Monday, August 15th, that it had s received in-principle approval from the Astana Financial Services Authority (AFSA) to operate a digital asset trading facility and provide custody in the Astana International Financial Center (AIFC). 

This latest development means that Kazakhstan is another country where Binance would be allowed to operate legally. 

In-principle approval from AFSA still requires Binance to complete the full application process. After completing this step, Binance can operate a digital asset trading facility and provide digital asset custody on the AIFC’s platform.

While commenting on this latest development, Changpeng Zhao (CZ), founder and CEO of Binance, said;

“Kazakhstan has shown itself to be a pioneer in Central Asian crypto adoption and regulation. This further signifies Binance’s commitment to being a compliance-first exchange and providing  products and services in a safe and well-regulated environment across the globe.”  

Gleb Kostarev, Regional Head of Asia at Binance, added that: 

“This is a landmark achievement for Binance in Kazakhstan. We are grateful to the Astana International Financial Center for their support and vision in granting Binance Kazakhstan this in-principle license approval.”

AFSA is an independent regulator of the Astana International Financial Center, overseeing a wide spectrum of digital asset-related activities in Kazakhstan. The excellent regulatory framework by the AFSAfor fintech products and services has helped the AIFC to establish itself as the leading regional platform for driving the sector’s development, the Binance team added. 

Nurkhat Kushimov, Chief Executive Officer of AFSA, also commented on this latest development, adding that

“Large investors seeking new markets need clear-cut and well-managed rules, as well as high standards of regulatory practice. When a regulator meets these requirements, it creates collaboration based on trust and an ecosystem where players can work safely and efficiently. We believe that Binance’s work will further develop this vibrant ecosystem of the digital asset industry locally and regionally.”

In recent months, Binance has strengthened its compliance team and gained approvals and provisional approvals from other countries and jurisdictions, including France, Dubai and Spain. The regulatory approvals came after the exchange came under fire in countries such as the U.K. and Japan last year and Uzbekistan and Israel this year.

Binance is the world’s leading blockchain and cryptocurrency infrastructure provider, with a financial product suite that includes the largest digital asset exchange by volume.