Kazakhstan Aims to Dominate Eurasia’s Crypto Landscape—But Can It Deliver?

Central Asia’s mining powerhouse is making a play for regional crypto supremacy. With cheap energy and a regulatory sandbox, Kazakhstan’s government insists it’s building more than just a Bitcoin haven—it’s crafting a full-spectrum digital asset hub.

Regulators claim they’re fast-tracking licensing frameworks while maintaining ‘necessary oversight’ (read: taxes). Local exchanges report surging volumes, though skeptics note most still route through Binance. The real test? Attracting institutional capital without becoming another regulatory revolving door.

One banking exec quipped: ‘They’ll succeed just in time for the next bear market.’ Ouch.

Kazakhstan’s bold crypto plan

Announced by President Kassym-Jomart Tokayev at the Astana International Forum 2025, this initiative aims to bring innovation by integrating cryptocurrency payments within a controlled, regulated framework.

Designed as a sandbox for digital asset testing, CryptoCity marks the country’s strategic MOVE to lead blockchain development and digital economy transformation.

Remarking on which, Tokayev said,  

“We are planning to create a pioneering pilot zone called CryptoCity where cryptocurrencies might be used for purchasing goods, services, and even beyond.” 

Not the first initiative!

This isn’t the first time the country has shown interest in crypto.

First Vice Minister of Digital Development, Kanysh Tuleushin, recently highlighted the nation’s potential to become a Central Asian crypto hub if regulators relax barriers.

The country also launched a central bank digital currency pilot in 2024, which has already streamlined processes like VAT refund timelines.

Why Alatau?

That being said, the upcoming CryptoCity project will be established in Alatau, chosen for its strong foundation in technology and research.

Alatau, with its Innovation Technology Park and numerous scientific institutions, offers an ideal environment to advance blockchain technology.

Minister Zhaslan Madiyev confirmed final preparations are underway, with the initiative set to boost technology and economic growth.

“The concept is that cryptocurrency WOULD be used as a means of payment — to pay in restaurants, cafes, buy real estate, make investments.” 

Challenges and solutions

In his address, President Tokayev also highlighted global challenges like geopolitical instability and climate change, reaffirming Kazakhstan’s commitment to peaceful, sustainable development.

The CryptoCity launch supports this vision, aiming to build resilient, future-ready economic systems.

Echoing this, Minister Zhaslan Madiyev emphasized the government’s active role in advancing a digital economy, according to Tengri News.

He said,

“CryptoCity implies free circulation of cryptocurrency, crypto-friendly legislation and crypto as a legitimate means of payment. These conditions need to be reflected in the law.”

Pakistan too joins the Bitcoin Reserve race

This coincided with Pakistan’s revelation of its intention to establish a Strategic Bitcoin Reserve (SBR), signaling a growing acceptance of digital assets in national economic planning.

At the bitcoin Conference in Las Vegas, Bilal bin Saqib, CEO of the Pakistani Crypto Council and Special Assistant to the Prime Minister, announced the initiative.

This reflects a regional trend of governments adopting structured strategies to integrate cryptocurrencies into their financial systems.