Kazakhstan Plans To Enable Banks To Process Crypto Purchases

Kazakhstan plans to enable its banks to start processing crypto purchases and start offering crypto services to their users so let’s read more in our cryptocurrency news today.

The government of Kazakhstan plans to enable banks to start processing crypto purchases and it now will allow local institutions to offer crypto exposure to clients with the implementation will run for one year after which the government will decide whether to extend it. The news channel Khabar 24 reported that the government plans to authorize local banks to open accounts for transactions with digital assets. The institutions will be granted permission to provide businesses and companies with crypto exposure and this should also allow the governemnt in the country to be able to assess the risks and benefits of virtual currencies.

The executive from the Data Center industry Sergey Putra thinks that the upcoming move will be a step towards further crypto adoption in the country and reminded that Kazakhstan is a mining hub already and many residents are actively trading various digital assets. Putra outlined that the market could bring more money flow to the country so the nation should focus on it:

“It is billions of dollars in daily turnover around the world. And even if Kazakhstan takes some fraction of a percent, this is serious money that will come to Kazakhstan in the form of investments…it will remain here in the form of taxes, in the form of jobs, and salaries. This is a very large industry, which Kazakhstan still bypasses.”

The government will allow trading venues to cooperate with the banks legally and all they will need to do is sign an agreement. The pilot project will reportedly last for 12 months which means that local investors will be able to buy and sell BTC and altcoins safely during this time. The Asian nation showed its intentions to be one of the leaders among countries mining crypto assets. Kazakhstan raised $715 million aiming to expand this sector in this nation. After china’s crackdown this year, companies shifted their businesses away from the country and moved the infrastructure elsewhere.

The company has significant crypto mining operations in China announced its intentions to shut down all its BTC and ETH mining facilities in the country so the organization plans to move its workers to various other nations like Kazakhstan for example.