Kazakhstan’s bitcoin exchanges and crypto platforms become subjects of financial monitoring

The Senate of Kazakhstan has passed a law that classifies cryptocurrency exchanges and trading platforms as subjects of financial monitoring. Sputnik reports.

In addition to financial reporting, exchanges and exchangers are required to file notices of the start or cessation of their activities with the Ministry of Digital Development, Aerospace Industry and Defense. This, according to lawmakers, is necessary to ensure the cybersecurity of virtual assets.

Senate lawmakers say that the activities of digital asset providers carry risks of money laundering and financing of terrorism, as well as the shadow economy.

To strengthen the anti-money-laundering system, the law also creates an institution of public officials, which will include government officials and their family members. Their money and other property transactions will be subject to additional financial checks, including after 12 months of leaving office.

The document has been sent to the President of Kazakhstan for signature.

Back in June 2020, Kazakhstan passed a law recognizing digital assets as property and prohibiting the issuance and circulation of cryptocurrencies, “except as provided by law”.

At the start of November 2021, authorities set limits on the purchase of digital currencies by retail investors on exchanges.

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