Kazakh Lawmaker Proposes Stricter Controls on Cryptocurrency Market

Olzhas Kuspekov, a member of Kazakhstan’s Mazhilis (the lower house of parliament), has proposed tightening government regulation of cryptocurrency circulation and blocking access to unlicensed crypto exchange websites and mobile applications. Currently, cryptocurrency transactions in Kazakhstan are only permitted through licensed platforms operating under the Astana International Financial Center (AIFC). However, Kuspekov stated that in practice, these exchanges accounted for less than 14% of the country's total crypto transactions in 2023. Citing data from U.S.-based blockchain analytics firm Chainalysis, he said the illegal segment of Kazakhstan’s crypto market reached $3.5 billion last year out of a total market volume of $4.1 billion. In a parliamentary inquiry addressed to the chairman of the National Bank of Kazakhstan, Kuspekov expressed concern that unlicensed exchanges continue to operate openly. “Their applications remain available on the AppStore and PlayMarket, and they are widely advertised on social media,” he said. He called on the National Bank to initiate blocking of these digital platforms. Kuspekov also urged the government to audit money transfers and enhance internal controls among commercial banks to ensure compliance with cryptocurrency legislation. “Some banks are servicing crypto transactions that fall outside the legal framework. According to the Financial Monitoring Agency, more than KZT 4.2 billion ($8.2 million) in transactions were processed through accounts at ten financial institutions. In most cases, internal compliance mechanisms were not applied,” he stated. The lawmaker further warned of a growing trend among young Kazakhs becoming involved in the gray market, influenced by bloggers and self-styled financial “coaches.” As a countermeasure, he proposed the establishment of a state digital reserve, under the National Bank, for storing seized crypto assets. As previously reported by The Times of Central Asia, other deputies from the Ak Zhol faction have also called for the creation of a national cryptocurrency bank to further formalize and regulate the digital asset economy in Kazakhstan.

Kazakhstan Targets Anonymous Telegram Channels Over Disinformation Concerns

Kazakhstan’s Ministry of Culture and Information has launched a vocal campaign against anonymous Telegram channels, accusing them of fueling misinformation and destabilizing public discourse. Minister Aida Balayeva has called for stricter controls and accountability from both platform administrators and users. Breeding Grounds for Misinformation Minister Aida Balayeva described anonymous Telegram channels as “breeding grounds for lies,” arguing that their content undermines public stability and trust. Balayeva accused their operators of systematically disseminating fake news and orchestrating provocations designed to manipulate public opinion. The ministry, she said, is pursuing legal mechanisms to identify and block such platforms. “Our clear position is the issue of strengthening responsibility for the deliberate spread of fakes. I believe that anonymity should not be a shield for provocateurs,” Balayeva stated, emphasizing that rules should apply equally online and offline. Balayeva cited the recent case of the Telegram channel Qirsabyn, whose administrators were detained in Astana and Karaganda. According to Kazakhstan’s Prosecutor General’s Office, the individuals allegedly extorted money by threatening to publish false and compromising information. “I think it is time to sit down at the negotiating table with the Telegram administration,” Balayeva added. Battling War Propaganda Balayeva also addressed efforts by her ministry to counter war-related propaganda, particularly content originating from Russian platforms. According to her, some social networks promote mercenary enlistment for the war in Ukraine, targeting citizens across the Commonwealth of Independent States, including Kazakhstan. The ministry reportedly monitors these platforms and alerts site administrators when illegal or harmful content is identified. “The volume of throw-ins and unlawful materials is huge. In any case, it affects the mood of society, and causes resonances,” Balayeva noted. No Blanket Ban on Platforms While advocating for accountability, Balayeva clarified that Kazakhstan does not aim to impose a blanket ban on social networks. She emphasized that maintaining information integrity is a shared responsibility between government bodies, platform operators, and users. “They often talk about blocking different social networks. I want to say: all this depends not only on the administrators of social networks and the actions of government agencies. First of all, it concerns the users of social networks, who must understand their responsibility in that they are directly responsible for stability in society and for the non-proliferation of false information.” Social Media Restrictions for Minors The conversation on regulating online content has also reached Kazakhstan’s Parliament, where Mazhilis deputy, Zharkynbek Amantayuly recently submitted a request to the Prime Minister proposing restrictions on social media use by minors. Amantayuly referenced models in countries such as China, South Korea, France, the United States, and Australia, where age-based limitations are legally enforced, arguing that Kazakhstan should adopt similar laws to regulate minors’ access to social networks and online games. Telegram Under Global Scrutiny Telegram has come under fire in several countries over its resistance to content moderation. In August 2024, the platform’s founder Pavel Durov was briefly detained at Paris-Le Bourget Airport on suspicions ranging from terrorism to drug trafficking and child exploitation. Durov was released, but French authorities...