While the government of Kazakhstan is catching up with the vast amount of cryptocurrencies in the country by introducing new taxes and regulations, the local central bank is determined to explore the opportunities that cryptocurrencies offer.

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On Tuesday, June 7, during a press conference, Chairman of the National Bank of the Republic of Kazakhstan Galymzhan Pirmatov declared that the nation is looking to profit from the technology that the cryptocurrency market can provide. He emphasized the attractiveness of innovation and made a caveat about the risks to macroeconomic stability. The official does not believe that the bank is late:

“I don’t think the National Bank is late. Like many other banks and financial regulators around the world, we are closely monitoring and studying this issue.”

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Pirmatov did not provide any details about the bank’s possible position regarding the cryptocurrency and warned that it is too early to talk about legalization, although consultations with market participants are planned:

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“The approach is very simple: we are not going to ignore this market. We want to make the most of the innovative potential that these technologies give us.”

Bitcoin Miners Resilience to Geopolitics: A Good Sign for the Network

Executive also disclosed some news about the Central Bank Digital Currency (CBDC) project of the National Bank. According to him, the bank still intends to announce its methodology for digital tenge by the end of June. It is reported that the final decision on the implementation of CBDC will be made in accordance with this methodology before the end of the year.

On May 25, the Parliament of Kazakhstan adopted amendments to the Tax Code of the country in the first reading. The amendments will tie the tax on cryptocurrency mining to the prices of electricity consumed by mining enterprises. Kazakhstan, one of the largest mining markets in the world, received just $1.5 million in government mining revenue in the first quarter of 2022. According to the report of the State Revenue Committee of the Ministry of Finance, a significant part of the expected fees were not received. as the government shut down a large number of cryptocurrency mining firms to “ensure energy security.”