Kazakhstan’s central bank has issued the country’s first nationwide crypto exchange license to Pax Finance. The approval allows the company to facilitate crypto trading, offer digital asset custody, and handle conversions between cryptocurrencies and fiat currencies. It also gives Pax Finance the right to open branches across the country and install Bitcoin ATMs, expanding beyond the capital.
Pax Finance enters the national licensing regime
The National Bank of Kazakhstan said the licensing regime for crypto-sector companies officially took effect on May 1, 2026. It reiterated that any entity seeking to operate legally in the country must register under the new framework and continue meeting regulatory requirements. With this approval, Pax Finance becomes the first platform admitted to Kazakhstan’s expanded regulated market for digital assets.
Pax Finance was founded on May 20 by figures from Kazakhstan’s finance and fintech sectors. Its founders include Arman Batayev, who previously worked at EY and the Astana International Financial Centre (AIFC), and Azat Bekmagambetov, described as an early leader in Kazakhstan’s crypto industry and a co-founder of one of Central Asia’s first Web3 accelerator programs.
Crypto oversight moves beyond Astana
Kazakhstan drew attention in crypto mining after restrictive measures in China pushed part of the industry outward. In the earlier phase, authorities limited permitted crypto activity to platforms supervised within the Astana International Financial Centre, aiming to create legal channels for miners to convert their earnings.
The Digital Assets Law introduced in 2023 gave cryptocurrencies formal legal recognition, but practical use cases remained limited for a period. Even so, most digital asset activity continued through peer-to-peer networks, unregistered exchanges, or platforms based outside Kazakhstan. This year, legislative amendments broadened oversight beyond Astana and set up a wider regulatory structure. In early May, changes to the Digital Assets Law took effect, followed by additional measures designed to legalize crypto-related monetary flows.
Enforcement pressure rises as payment rules evolve
The new license arrives as authorities step up enforcement against unlicensed operators. According to local officials, nearly 130 illegal trading points were shut down at the start of 2026. Those sites accounted for a combined $127 million in digital asset transactions, and investigations led to seizures of assets worth more than $5 million.
The government has also voiced concern over capital outflows linked to cross-border crypto transfers. President Kassym-Jomart Tokayev has publicly called on regulators to curb those outflows and tighten supervision. At the same time, officials are moving to formalize crypto payments inside the country: the tenge will remain the only legal tender for direct transactions, but crypto holders will be able to use so-called crypto cards that instantly convert digital assets into fiat for purchases of goods and services.