Binance and Bybit Become Licensed Digital Asset Trading Facilities in Kazakhstan

TL;DR

• Binance and Bybit have become the first fully licensed Digital Asset Trading Facilities in Kazakhstan.

• The license allows them to provide investment services, advanced trading, and custody.

Binance and Bybit Become the First Fully Licensed DATF in Kazakhstan

Cryptocurrency exchanges Binance and Bybit have made history as they became the first companies to receive formal consent from the Astana Financial Services Authority (AFSA) for full Digital Asset Trading Facility (DATF) licensing.

According to the Astana Times, the AFSA is the regulatory body for Kazakhstan’s Astana International Financial Centre (AIFC) special economic zone. By obtaining this license, Binance and Bybit can now provide investment services, advanced trading, and custody.

Binance #Kazakhstan, the world’s leading #cryptocurrency and #blockchain infrastructure provider’s subsidiary, received formal approval from the #Astana Financial Services Authority for a full regulatory license on Sept. 6. @binance https://t.co/3GnUkplRwm

— The Astana Times (@TheAstanaTimes) September 9, 2024

Binance and Bybit have operated in the country using “in-principle” authorization. Binance, the world’s leading cryptocurrency exchange by daily trading volume, has been in Kazakhstan since August 2022, when it received in-principle authorization to operate in the AIFC.

The exchange received a permanent license in October 2022, but the AFSA restructured the DATF framework in January 2023. 

Following the approval of the Digital Assets Law in Kazakhstan in February 2023, the regulator went after unlicensed cryptocurrency exchanges operating in the country, resulting in the blockage of nearly 1,000 exchanges, including Coinbase. 

Meanwhile, Bybit received in-principle approval from the AFSA in May 2023. Binance and Bybit have since undergone several compliance audits and have now become the first fully licensed DATF in Kazakhstan. 

While commenting on this latest development, Binance said,

“This included an External Financial Audit, obtaining ISO certifications for the organization’s IT systems, and multiple internal and external audits. Furthermore, AFSA conducted a rigorous evaluation of its own to ensure that Binance Kazakhstan met all applicable requirements and maintained top-notch systems and processes.”

This latest development comes barely 24 hours after Binance’s Indonesian subsidiary Tokocrypto obtained a full license to operate as a Physical Crypto Asset Trader in the country.