ASTANA – The National Bank of Kazakhstan launched a special regulatory framework, called a regulatory sandbox, for digital assets, announced the bank’s press service on July 28.
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The regulatory sandbox enables real-world testing of new services and business models using digital assets.
The move comes a month after President Kassym-Jomart Tokayev signed a law amending certain legislative acts on the development of the financial market, protection of consumer rights in financial services, communications, and the elimination of excessive legislative regulation. These amendments expand the National Bank’s mandate to introduce a special regulatory regime, a regulatory sandbox, for activities involving digital assets.
The special regulatory regime is eligible for second-tier banks, institutions authorized to carry out specific banking operations, payment organizations, and other legal entities registered in Kazakhstan.
“The National Bank aims to build an open platform for the safe testing of digital financial innovations, while maintaining a balance between innovation and financial stability,” said the bank in a statement published on the official website.
The first pool of pilot projects was launched in four key areas. First is tenge-backed stablecoins. These are digital assets backed by fiat money and will be tested as a potential alternative to dollar-pegged stablecoins, to boost the appeal of tenge-denominated instruments.
The second area is real estate tokenization, digital tokens certifying ownership rights to real estate. This will enable developers to raise financing and provide retail investors with access to commercial property investments.
Next comes tokenization of real-world assets, digitalization of equity stakes in companies and tokenization of claims on commercial debt. These mechanisms are designed to attract working capital and expand investor access to the real economy.
The final area deals with the conversion of unbacked digital assets, such as cryptocurrencies, into fiat money. This is done to assess the risks associated with cryptocurrency transactions and develop corresponding regulatory approaches. Another goal is to create a favorable environment for bringing Kazakhstan’s crypto investors out of the grey zone, thereby reducing the shadow circulation of cryptocurrencies.
Binur Zhalenov, chief digital advisor at the National Bank, announced that the first cohort of the sandbox participants includes three tenge-backed stablecoin pilots, three tokenisation platforms, and two crypto OTC (over-the-counter) exchange solutions.
“More than 15 additional projects are under active consideration, and the sandbox remains open to new applicants — we welcome innovators across the spectrum of digital finance,” Zhalenov wrote in a LinkedIn post.
Participants come from diverse areas in fintech, including second-tier banks, crypto exchanges, non-bank fintech firms, and international crypto providers.
“Through these pilot projects, we expect to gain valuable hands-on experience that will help refine future regulation of digital assets,” Zhalenov said in a recent interview with Zakon.kz.
Much of this momentum stems from the stance of regulators in the world’s leading economies.
“In the United States, the GENIUS Act and the CLARITY Act are coming into effect, creating a regulated environment for digital asset transactions. In the European Union, MICA already governs the issuance and circulation of digital assets. These moves are set to accelerate the adoption of cryptocurrencies by banks, fintechs, and investment funds and further embed digital assets into everyday financial life,” he said.
Market capitalization of the crypto industry alone has approached $4 trillion, with an estimated one billion people worldwide owning some form of cryptocurrency.
The central bank is also considering the possibility of setting up a state crypto reserve.
“We are exploring this possibility together with the government. Globally, four jurisdictions — the United States, El Salvador, Bhutan, and Pakistan — have officially established similar strategic reserves. Some countries have also set up special reserves within government or law enforcement agencies to hold confiscated funds,” he explained.
“If a decision is made to establish such a reserve in Kazakhstan, the National Bank, acting as the government’s agent and financial advisor, would organize its operations using the existing investment infrastructure,” he added.
Zhalenov reaffirmed that the central bank’s approach remains “deliberate, pragmatic, and aimed at long-term impact.”
“Kazakhstan brings a unique combination: a progressive regulatory framework, a mature digital infrastructure, and the political will to pursue technological leadership. This positions the country to claim a role as one of the global hubs for the development and circulation of digital assets, a space where innovation meets security, and the interests of investors and society are in sustainable balance,” Zhalenov said.
In an April interview with The Astana Times YouTube channel, Zhalenov explained in detail the efforts of Kazakhstan’s central financial regulator to go digital.
