Kazakhstan Pioneers Stablecoin Payments for Regulatory Fees

KEY FACTS: Kazakhstan’s Astana Financial Services Authority (AFSA) has launched a pioneering pilot program allowing firms in the Astana International Financial Centre (AIFC) to pay regulatory fees using USD-pegged stablecoins like Tether (USDT) and USD Coin (USDC), marking a regional first in integrating cryptocurrencies into financial regulations. Announced at Astana Finance Days 2025, the initiative, supported by a memorandum with Bybit, aims to streamline payments with faster, cost-efficient transactions compared to traditional methods, which often involve delays and high fees. ___  Source: Astana International Financial Centre ___ # Kazakhstan Pioneers Stablecoin Payments for Regulatory Fees Kazakhstan’s Astana Financial Services Authority (AFSA) has launched a pilot program allowing firms within the Astana International Financial Centre (AIFC) to pay regulatory fees using USD-pegged stablecoins. The initiative, unveiled during the Astana Finance Days 2025 conference, marks a significant step toward integrating cryptocurrencies into the country’s financial ecosystem, positioning Kazakhstan as a trailblazer in the regulated adoption of digital assets. The project, described as a “first-of-its-kind regulatory framework for payments in stablecoins in the region,” enables AIFC-registered companies to settle license and supervision fees using stablecoins such as Tether (USDT) and Circle’s USD Coin (USDC). This development is part of Kazakhstan’s broader strategy to modernize its financial infrastructure and attract global blockchain and cryptocurrency investments while maintaining robust regulatory oversight. The initiative was formalized through a multilateral memorandum of understanding (MMoU) signed with Bybit, a leading centralized cryptocurrency exchange, which became the first participant in the program. Traditionally, companies operating within the AIFC have paid regulatory fees through conventional methods such as bank transfers and wire payments in fiat currencies like the U.S. dollar and the Kazakhstani tenge. However, these methods often come with significant drawbacks, including processing delays, high transaction costs, and limited flexibility, particularly for firms holding substantial digital asset portfolios. These methods are functional but often involve delays, high transaction costs, and limited flexibility, especially for firms whose primary treasury is held in digital assets. Stablecoins, which are cryptocurrencies pegged to stable assets like the U.S. dollar, offer a compelling alternative. They provide a fast, cost-efficient, and transparent payment option, enabling near-instantaneous settlements with significantly lower fees compared to traditional cross-border transfers. According to industry analysts, stablecoin transactions can reduce settlement times from 48–120 hours (T+2/T+5) to under 15 minutes, with transaction costs dropping by up to 90% depending on network conditions. This efficiency is particularly appealing for businesses operating in the fast-paced world of digital finance, where speed and cost-effectiveness are critical. Bybit Kazakhstan, a subsidiary of Bybit (the world’s second-largest cryptocurrency exchange by trading volume), has taken a pioneering role in this initiative. As the inaugural signatory of the MMoU, Bybit will provide the technical infrastructure for the pilot’s initial phase, including a customized Bybit QR Pay solution and a dedicated stablecoin wallet system designed for invoicing. This setup allows AIFC-registered firms to pay regulatory fees directly from authorized wallets, bypassing traditional banking intermediaries. Mazurka Zeng, Chief Operating Officer at Bybit, expressed enthusiasm for the collaboration. He emphasized that the initiative is a step toward building an infrastructure that empowers businesses and consumers to seize “borderless opportunities in the stablecoin-powered financial future. The AFSA’s pilot program is not open to all firms; participation is restricted to licensed Digital Asset Service Providers (DASPs) that hold an AFSA license to offer money services related to digital assets or operate trading facilities. These entities act as intermediaries, executing stablecoin payments on behalf of firms and remitting the equivalent fiat amount to AFSA’s designated bank account. Participation also requires signing the MMoU and meeting stringent eligibility criteria, which the regulator has not yet fully disclosed. The names of approved providers will be published on AFSA’s official website once agreements are finalized. AFSA Chief Executive Officer Evgeniya Bogdanova hailed the initiative as a transformative step for the AIFC. She said that accepting regulatory fees in USD-pegged stablecoins makes the AIFC faster, more open, and firmly connected to the future, offering participants a modern, reliable way to grow within a trusted regulatory framework. The stablecoin pilot builds on Kazakhstan’s ongoing efforts to integrate digital assets into its financial system. In January 2024, AFSA introduced a dedicated Stablecoin Framework, one of the first of its kind in the region, followed by the issuance of the country’s first fiat-backed stablecoin license to AnchorX.KZ Limited later that year. Additionally, the National Bank of Kazakhstan has been advancing its central bank digital currency (CBDC) initiative, the digital tenge, with pilot testing beginning in 2021 and the first retail payments completed in 2023. A full rollout of the digital tenge is planned by the end of 2025, featuring offline functionality to modernize domestic payment systems. Kazakhstan’s embrace of digital assets extends beyond regulatory fees. In August 2025, the country saw the launch of Central Asia’s first spot Bitcoin exchange-traded fund (ETF) by local firm Fonte Capital, with support from U.S.-regulated crypto custodian BitGo. The country has also emerged as a major player in cryptocurrency mining, leveraging its abundant energy resources. In May 2025, First Vice Minister of Digital Development Kanysh Tuleushin highlighted the economic benefits of crypto adoption, noting that mining could modernize Kazakhstan’s energy infrastructure through initiatives like the “70/30 project,” which allocates 70% of upgraded thermal plant output to the national grid and 30% to miners. While Kazakhstan is embracing digital finance, it is also tightening oversight to ensure compliance and mitigate risks. In January 2025, authorities shut down several unregistered crypto exchanges linked to money laundering and cybercrime. Over the past two years, the Financial Monitoring Agency has blocked nearly 1,000 illegal platforms and frozen assets worth more than $75 million tied to scams and pyramid schemes. The government has also proposed new penalties for gray-market digital asset transactions to curb illicit activities. At the same time, Kazakhstan is fostering innovation through initiatives like “CryptoCity,” a pilot zone in Alatau announced by President Kassym-Jomart Tokayev, where cryptocurrencies can be used for everyday payments. Additionally, National Bank Chairman Timur Suleimenov has confirmed plans to invest part of the country’s gold and foreign exchange reserves in crypto-linked assets, following the lead of sovereign wealth funds in the U.S., Norway, and the Middle East. A state crypto reserve to store assets seized in criminal cases is also under consideration, with proceeds from state-backed mining operations potentially supplementing the reserve. Kazakhstan’s pilot program shows AFSA's commitment to embracing blockchain technology within a trusted regulatory framework. With Bybit leading the charge and the AIFC at the forefront of innovation, Kazakhstan is poised to redefine the future of finance in Central Asia and beyond. --- --- --- Information Sources: - [AIFC News](https://aifc.kz/news/afsa-launches-pilot-project-to-accept-regulatory-fees-in-stablecoins/) - [Bitcoinethereumnews](https://bitcoinethereumnews.com/tech/afsa-introduces-stablecoin-for-taxes-and-licenses-in-the-aifc/) - [Cointelegraph](https://cointelegraph.com/news/kazakhstan-accept-regulatory-fees-usd-stablecoins) ---  ___ _If you found the article interesting or helpful, please hit the upvote button and share for visibility to other hive friends to see. More importantly, drop a comment below. Thank you!_ ## This post was created via INLEO. 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