Binance signs MOU with Kazakhstan to further crypto adoption and regulation
Binance CEO Changpeng Zhao met with Kazakhstanâs president and his senior staff on Wednesday to discuss long-term cooperation.
Cryptocurrency exchange Binance has signed a memorandum of understanding, or MOU, with the government of Kazakhstan to bolster âvirtual asset market developmentâ in the central Asian country.Â
The signing of the MOU, which is between Binance and Kazakhstanâs Ministry of Digital Development, Innovations and Aerospace Industry, took place on Wednesday during Changpang Zhaoâs official visit to the country. The Binance CEO met with Kazakh President Kassym-Jomart Tokayev, First Deputy Chief of Staff Timur Suleimenov and Bagdat Musin, the minister overseeing the countryâs digital innovation strategy.
Under the framework, Binance will assist Kazakhstan in developing legislative guidelines and regulatory policies for crypto assets. The Ministry of Digital Development, Innovations and Aerospace Industry will also âseek opportunities to integrate banking infrastructure within the cryptocurrency marketâ and facilitate the development of blockchain technology, according to the official statement.
President of the Republic of Kazakhstan Kassym-Jomart Tokayev meets CEO of Binance Changpeng Zhaohttps://t.co/K4MsXM646M
â CZ Binance (@cz_binance) May 25, 2022
Kazakhstan has emerged as a pivotal player in the Bitcoin (BTC) economy since absorbing Chinese mining capacity following Beijingâs wholesale crackdown on the industry. Chinese Bitcoin mining companies Canaan and BTC.com have moved their operations to the country to capitalize on cheap, abundant fuel, as well as favorable regulatory conditions.
Related: China returns as 2nd top Bitcoin mining hub despite the crypto ban
However, Kazakhstanâs Bitcoin mining surge appears to have been unsustainable, as the influx of miners strained the countryâs energy supply and prompted the government to reduce their access to power. Earlier this month, the government announced that all Bitcoin miners would be required to submit comprehensive reports on their power consumption.