Kazakhstan’s National Bank signs MoU with Binance to expand digital asset services

Kazakhstan’s National Bank just formalized a partnership with the world’s largest crypto exchange that could turn the Central Asian nation into a regional digital payments powerhouse. The memorandum of understanding, signed on September 4, puts Binance on a path to apply for a Category 1 non-bank Payment Service Provider license, a credential specifically designed to let digital assets and traditional fiat currencies play nice together.

Deputy Chairman of the National Bank, Binur Zhalenov, signed the agreement as part of a broader push that included three separate MoUs inked the same day. The other two involve cooperation with Kazakhstan’s Ministry of Artificial Intelligence and Digital Development and the Astana International Financial Centre.

What the license actually does

The Category 1 PSP license enables Binance to build infrastructure for converting between digital assets and fiat currency, processing payments, and facilitating transactions. What it explicitly does not allow is deposit-taking or lending.

The discussions also touched on something potentially more consequential: exploring a local stablecoin. While still in the conversational stage, a Kazakhstan-issued stablecoin could serve as the connective tissue between the country’s fiat system and the broader digital asset ecosystem, particularly for cross-border transactions with neighboring Commonwealth of Independent States nations.

Building on existing infrastructure

This MoU isn’t Binance’s first move in Kazakhstan. The exchange received a Digital Asset Trading Facility license through Binance Kazakhstan back in 2024, giving it a regulated foothold in the country.

That distinction became tangible in July 2026 when Binance launched Binance Pay (also referred to as Crypto Pay) in partnership with Alatau City Bank. The service went live across 5,000 point-of-sale terminals, allowing users to spend crypto at physical merchants.

Zhalenov framed the Category 1 PSP license as a key mechanism for connecting digital currencies with fiat, positioning Kazakhstan as a regional fintech hub.

Regional ambitions and competitive positioning

Binance’s push into the country appears designed to use it as a launchpad for expansion across the CIS region, a collection of post-Soviet states with a combined population exceeding 240 million. The AIFC, modeled partly on Dubai’s financial free zone structure, has served as the institutional framework for Kazakhstan’s approach to bringing Binance inside the tent.

The three simultaneous MoUs suggest a coordinated government strategy rather than a one-off deal, with multiple ministries and regulatory bodies aligned on the same digital finance agenda.

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