Binance Focuses on Crypto Safety in New MoU with Kazakhstan

Binance, a major cryptocurrency exchange, has signed a second memorandum of understanding (MoU) with Kazakhstan, this time focusing on “the safe development of virtual asset markets” in the Central Asia country.

The crypto exchange signed the MoU with the country’s Financial Monitoring Agency on October 3, 2022, in Astana, the capital city of Kazakhstan.

On Tuesday, Binance in a statement further noted that the new memorandum is targeted at creating “a long-term and sustainable platform for cooperation.”

“The main focus of the MOU is on building pathways for cooperation and mutual support in areas such as exchange of information about digital assets’ movement, detecting and tracking assets obtained by criminal means, as well as those intended for the legalization (laundering) of criminal proceeds and the financing of terrorism,” Binance explained.

Additionally, the exchange said the MoU is part of the efforts to implement its new Law Enforcement Training Programme under which it has held workshops in the UK, Canada, Germany, France, Italy and Norway, among other countries.

Binance said the programme was designed to help law enforcement teams across the world in detecting financial crimes and cybercrimes.

Meanwhile, In May, Binance signed an MoU on the development of distributed ledger technology with Kazakhstan following the visit of Binance CEO, Changpeng Zhao, to the country.

The memorandum was signed by the country’s Ministry of Digital Development, Innovations and Aerospace Industry headed by Bagdat Musin.

Speaking about the meeting, Musin had said both parties discussed the possibility of creating a blockchain-focused venture capital fund and academy to raise local talents in the country's financial hub to global standards.

“We really believe Kazakhstan can become a regional hub for international players in the crypto world,” Musin added.

Binance in Kazakhstan

Binance's new MoU comes a few days after the crypto exchange secured a permanent license to operate as a digital asset service provider in Kazakhstan.

The crypto exchange said the license was granted by the AIFC Financial Services Authority (AFSA), the independent regulator of Kazakhstan’s financial hub, the Astana International Financial Centre (AIFC).

The license also gives Binance the permission to provide custody services at AIFC, the crypto exchange said in a statement announcing the permament approval.

The permanent licensing comes almost three months after the leading cryptocurrency exchange got preliminary regulatory approval to operate in the transcontinental country.

“The permanent license gives Binance the status of a regulated platform in Kazakhstan and attests to its strong compliance and security controls,” Binance said.

“The platform will be authorized to offer digital asset exchange and conversion services, deposit and withdrawal of fiat currencies, cryptocurrency custody, and exchange trading,” it added.

Gleb Kostarev, the Asia Regional Head at Binance, noted that the government of Kazakhstan has “made significant changes to relevant legislation and the regulatory environment, thereby setting the highest compliance standards for cryptocurrency platforms.”