Kazakhstan is completing the development of the regulatory framework for digital financial assets

Central Asian region enters a new era of financial sovereignty. The Republic of Kazakhstan is taking an ambitious step by developing comprehensive legislation for managing digital financial assets and cryptocurrencies. This initiative positions the country as a serious player in the global digital asset market, while ensuring investor protection and operational transparency.

President Kassym-Jomart Tokayev signed a series of legislative acts, including the laws ‘On Banks and Banking Activities’ and ‘On Amendments and Additions to Certain Legislative Acts on Regulation and Development of the Financial Market, Communications, and Bankruptcy.’ According to Cointelegraph, these acts aim to create a clear and organized framework for managing various categories of digital assets, balancing innovation with financial security.

Two-tier regulatory system: roles of NBR and ARDFM

The new regulatory framework establishes a division of responsibilities between two key agencies. The National Bank of Kazakhstan (NBR) is authorized to regulate and license cryptocurrency exchanges, define the list of permitted crypto assets, and set operational limits on regulated platforms.

The Agency for Regulation and Development of the Financial Market (ARDFM) is responsible for another area — managing digital financial assets, excluding stablecoins. This agency sets requirements for the issuance, circulation, and redemption of such assets, ensuring compliance with standards for risk management, disclosure, and investor protection, similar to those applied to traditional financial instruments.

Classification of digital assets and risk management requirements

The legislation introduces a multi-level classification system. Digital financial assets are divided into three main categories: stablecoins, assets backed by financial instruments and property rights, and financial instruments issued in electronic form.

Each asset class is subject to specialized regulation considering its features and risks. New operators of digital platforms, acting as issuers of digital financial assets, must obtain a license from the central bank. This requirement ensures oversight of market participants and minimizes systemic risks.

Cryptocurrency status as unsecured digital assets

Bitcoin (BTC) and Ether (ETH) are granted a special status in the new classification system — they are designated as ‘unsecured digital assets.’ The National Bank of Kazakhstan regulates cryptocurrency exchanges and determines which crypto assets can be traded on regulated platforms, setting trading limits.

This approach allows separating highly volatile crypto assets from protected financial instruments, providing investors with clear information about associated risks.

Kazakhstan’s strategic positioning in the global digital economy

This initiative demonstrates Kazakhstan’s long-term ambitions to become a regional financial technology hub in Central Asia. The country is already actively implementing payments in stablecoins and plans to launch the first Bitcoin-based exchange-traded funds (ETFs) in 2025. Additionally, Kazakhstan plays a significant role in the global cryptocurrency mining ecosystem.

Developing a clear and transparent regulatory framework for digital financial assets supports these strategic goals, creating an attractive and secure environment for digital asset operations. Cointelegraph submitted a request to ARDFM for detailed comments on the list of permitted crypto assets and applicable rules, but no response was received at the time of publication.

This regulatory step reflects the understanding of Kazakh leadership of the need to create a balanced ecosystem for digital financial assets — an ecosystem that protects investors’ interests, fosters innovation, and positions Kazakhstan as a reliable partner in the global digital economy.