China’s crackdown on the crypto mining industry was a blessing in disguise for the crypto market. For a long time, the industry had become complacent, as it remained in China which had the infrastructure, talent, and cheap electricity that made mining profitable.
But when they closed their doors to all forms of crypto, companies had to look for other countries that had the infrastructure and the talent to support all of its operations. And one of the goldmines that many have settled on was Kazakhstan, which had the free space and cheap electricity they needed.
In fact, Kazakhstan will also be getting incentives from Russia to mine crypto, and in exchange, they will provide some of the mined crypto to them. All in all, they are poised to become one of the major players in the crypto space.
Binance Finally Reaches Kazakhstan
Since Kazakhstan is becoming a major crypto hotspot, it only makes sense that Binance will want to make its presence known there too. As one of the best exchanges in the world, it has the widest range of crypto assets available. And by finally being able to operate in Kazakhstan as well, they can bring even more people into the crypto space.
According to various official sources, the AFSA will allow Binance the status of a regulated platform. This confirmation essentially means that people will be able to trade on Binance freely from within the country.
Adding Regulators and Garnering Approval
While Kazakhstan was becoming one of the most popular countries for cryptocurrencies, it didn’t have the asset regulation that was necessary to spearhead such a change. Fortunately, Binance was looking to help Kazakhstan develop the necessary regulation that would allow it to meet the standards set internationally.
Along with helping the country improve its regulation, the exchange has also improved its compliance team, ensuring that it will work closely with government officials to work for the benefit of the netizens.
Kazakhstan has also garnered concern from various countries like Israel, the UK, Japan, Spain, Dubai, and France. But when working with Binance, it is more likely that the country will continue to improve and build on its initial framework.
A Unique Opportunity for Russia
The latest round of sanctions from the EU has completely banned Russian personnel or cities to be trading cryptocurrencies. These locations will also include all of the territories that Russia has annexed. And by making Kazakhstan one of the major hubs of cryptocurrencies, it can still funnel its transactions and pass them on to the rest of the world without breaking any laws.
Kazakhstan’s unique position makes it very beneficial for Russia to support it, and eventually get tokens out of their mutually beneficial experience.