Cryptocurrency license in Kazakhstan

Kazakhstan's system of crypto licensing has been recently introduced allowing individuals and legal entities to obtain official permits to engage in cryptocurrency activities. This system was implemented in accordance with the Law on Digital Assets in the Republic of Kazakhstan, which came into effect on April 1, 2023.

Despite the ban on the issuance and circulation of unsecured digital assets in Kazakhstan, the legislation provides a special exception that allows the issuance and circulation of such assets through the International Financial Center "Astana" (IFCA).

Crypto licensing is issued by the relevant government institution authorized to regulate digital assets in Kazakhstan. To obtain a license, the applicant must submit the appropriate application and provide the necessary documents.

Reasons to choose Kazakhstan:

• Favorable tax conditions: Holders of crypto licenses in Kazakhstan, operating within the IFCA, are granted tax exemptions on several types of income tax and property tax until January 1, 2066. This creates an attractive investment environment and development of the financial market without the additional tax burden.
• Fast foreign citizens registration procedure: The IFCA provides a simplified registration regime. Also, specialized Expat Center has been opened in the country, providing more than 500 services to foreign citizens. This center is specifically designed to meet the needs of foreigners and provide comprehensive support to them.
• Stable legislative framework: Starting from April 2023, a new law came into effect. It's leading to the establishment of a comprehensive and modern regulatory system that fully complies with international standards. It is expected that this legislative foundation will remain stable in for the next 2-3 years.
• Simplified visa and work permit procedures: Participants of the IFCA and their family members can enter Kazakhstan under a special visa regime with the possibility of staying for up to 5 years and exemption from the requirement of obtaining work permits for foreign workers.

The license covers:

• Control and management of digital assets.
• Provision of storage and management services for digital assets owned by other individuals or organizations.
• Purchase, sale, and exchange of digital assets for fiat currency.
• Exchange of one digital asset for another.

Requirements for applicants:

Cryptocurrency licensing is granted by the relevant governmental body empowered to oversee digital assets in Kazakhstan. In order to acquire a license, the applicant must present the suitable application and furnish the following paperwork:

• Establishment of a legal entity.
• Registration of the director's taxpayer identification number (INN).
• Description of the company's activities. Passport details of all company participants.
• Implementation of KYC procedures.
• Maintaining reporting and audit to the regulator.

The time frame for obtaining a cryptocurrency license usually ranges from two to four weeks.

For more detailed information and clarification of costs, please contact our specialists. We will be happy to answer all your questions!