Officials from Kazakhstan presented experts from Russia and China on “Astana Online Financial Day 2020” the plan to develop the country’s digital currencies.. According to the Chinese Ministry of Commerce on July 1 Kazakhstan plans to double its investment in mining digital currencies by the end of this year, while further developing the central bank’s digital currency (CDBC).
According to the message, The Kazakh digital currency mining project attracted 82.6 million tenge, which would be approximately $ 20 million. The size of this investment will increase by ten million by 2020 by tenge.
A blockchain and its CBDC in progress
The development of blockchain technology would give the digital currency a new practical meaning, says Kazakhstan.
In May 2020 Mu Xin, Adviser to the President of Kazakhstanproposed the introduction of blockchain technology and the digital tenge. This would aim to fight corruption and ensure transparency in the allocation of government budgets. In June, Kazakhstan adopted a blockchain and digital technology development program.
Nowadays, The Kazakh Central Bank demonstrates the feasibility of introducing its CBDC, the Digital Tenge. Zarenov, Adviser to the President of the Central Bank of Kazakhstan, emphasizes:
“The main task of the central bank is to maintain inflation targets and the stability of financial markets, and solving a digital currency has second priority. The key is to ensure that the design of a digital monetary system meets monetary policy objectives.”
Legal framework for your CBDC
Kariyev, Development Manager at Astana International Financial Center, or AIFCsaid They are ready to provide process support and formulate a legal basis for Kazakhstan to present its digital currency. The AIFC protocol includes cryptocurrency classifications, smart contracts, digital wallets and other common terms in the cryptocurrency market.
Kazakhstan has previously developed a method of storing and circulating cryptocurrencies to standardize these processes through a professional platform.