Binance, the world’s largest crypto exchange platform by trading volume, has recently expanded its operations by launching a fully regulated brokerage outfit in Kazakhstan. This move comes after receiving a permanent license from the AIFC Financial Services Authority (AFSA) last year, highlighting the exchange’s efforts to work in tandem with regulatory authorities.
The launch of the trading platform in Kazakhstan is a result of Binance CEO Changpeng ‘CZ’ Zhao’s visit to the country last year, where he met President Kassym-Jomart Kemeluly Tokayev. During the visit, Binance and the Kazakhstan government signed a Memorandum of Understanding (MoU) aimed at fostering digital innovation within the country.
With the newly launched exchange, users in Kazakhstan can now trade cryptocurrencies with the assurance of government-regulated certainty. The platform will focus on exchange and conversion services, deposit and withdrawal of fiat, and custody of crypto assets. Binance also plans to expand the range of services offered in the long term.
Vice Minister of Digital Development, Innovation, and Aerospace Industry of Kazakhstan, Asset Turysov, acknowledged the significant strides taken by regulators in Kazakhstan in the development of the cryptocurrency industry. Turysov highlighted Binance’s assistance in the development of a legislative framework, overall policy for the regulation of crypto assets, and implementing various educational initiatives in the country.
While industry leaders have praised the newly launched trading platform as a reference point for future endeavors, this news comes at a critical time for Binance. The exchange is currently facing regulatory challenges by the United States Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). Reports suggest that Binance is under investigation from regulators across both regions.
Despite these hurdles, Binance’s expansion into Kazakhstan can be seen as a major win for the company. The significance of this development is further emphasized by the closure of the exchange’s operations in Cyprus and the United Kingdom.
As cryptocurrency regulation continues to evolve, the launch of Binance’s regulated trading platform in Kazakhstan showcases the exchange’s commitment to working with authorities and complying with regulatory mandates. This development holds great potential for the future growth of the cryptocurrency industry, as well as establishing a precedent for other exchanges to follow suit.
Source: Coingape
