Kraken’s Parent Payward Wins Initial Approval to Enter Kazakhstan
Kazakhstan went from hosting nearly one-fifth of the world’s bitcoin (BTC) mining activity in 2021 to tightening oversight of its cryptocurrency industry. Now, Kraken’s parent company, Payward, is preparing to enter the Central Asian market. On Thursday, the company announced in-principle regulatory approval for its Kazakhstan subsidiary, potentially opening the door to cryptocurrency trading, investment services and custody in a country increasingly focused on regulated digital asset businesses rather than simply supplying cheap electricity to miners.
Payward Secures Regulatory Foothold in Kazakhstan
The Astana Financial Services Authority (AFSA) granted preliminary approval for Payward Kazakhstan to operate a digital asset trading facility, deal in investments as principal and agent, and provide custody services within the Astana International Financial Centre (AIFC). The approval is not a final operating license. Payward must satisfy the regulator’s remaining requirements before commencing licensed activities.
Once authorized, Kazakhstan-based clients would gain access to Kraken’s global order books, connecting local trading activity with liquidity across Europe, the United States and Asia. “The AFSA and AIFC teams have been constructive and rigorous throughout this process, and we appreciate the engagement,” remarked Dave Ripley, co-CEO of Payward and Kraken.
