Kazakhstan plans to launch “CryptoCity,” a pilot zone for digital assets, with crypto payments and a regulatory sandbox, says President Tokayev.
According to Kazakhstan’s President, Kassym-Jomart Tokayev, the country intends to establish “CryptoCity,” a pilot zone that will enable the use of cryptocurrencies to pay for products and services. as stated in an announcement posted on the official website of the President on May 29.
Tokayev stated at the Astana International Forum 2025 that the pilot zone will be utilized to investigate cryptocurrency adoption in a regulated laboratory environment.
In his remarks, which were published on the president’s official website, he stated, “We are planning to establish a pioneering pilot zone called CryptoCity, where cryptocurrencies may be employed to purchase goods, services, and even beyond.”
The country has recently made several announcements regarding cryptocurrency.
This month, Kanysh Tuleushin, Kazakhstan’s inaugural vice minister of digital development, declared that the country has the potential to establish itself as a prominent crypto center in Central Asia if regulatory constraints are alleviated.
Kazakhstan initiated an experimental project in 2024 that reportedly utilized its central bank’s digital currency to decrease the wait times for value-added tax refunds.
Why Would You Build CryptoCity In Alatau?
Kazakhstan’s Minister of Digital Development, Zhaslan Madiyev, stated in a May 29 report by the local news outlet Tengri News that “the government and regulators are currently working together to determine the most suitable location.”
A single city is currently being seriously considered.
He stated, “Of course, the most promising location for CryptoCity is the new city of Alatau; it is the President’s initiative.”
Alatau is a settlement situated close to the southern boundary of Kazakhstan.
It was founded in 1957 as an unnamed settlement for scientific institutions and employees.
It is home to the Physics and Technology Institute, the Kazakhstan National Nuclear Center, which includes an experimental nuclear reactor and cyclotron, and the Institute of Nuclear Physics.
Alatau is home to a special economic zone called Innovation Technology Park and Kazakhstan’s research center.
As a result, regulators may perceive that incorporating an additional entity into the equation is a logical progression that could generate synergies that could attract additional capital.
Madiyev illuminated the extent to which cryptocurrency would be prevalent in the region:
“The concept is that cryptocurrency would be used as a means of payment — to pay in restaurants, cafes, buy real estate, make investments. I believe this could be a major breakthrough for the blockchain industry.“
Kazakhstan Places Wager On Cryptocurrency
Madiyev hoped the initiative would attract developers, programmers, and IT specialists to Kazakhstan, stimulating local economic growth.
He stated that the regulatory framework is the primary focus, but the city is already developing.
He also noted that “CryptoCity” entails the free circulation of cryptocurrency, crypto-friendly legislation, and crypto as a legitimate form of payment.
“The law must reflect these conditions,” he continued.
