Although the relationship between governments and blockchain technology has not always been smooth, it has improved immensely over the course of 2017. Recently, Japan has made Bitcoin a legal form of payment in the country, exempting it from the consumption tax. Other countries are also catching up and making provisions for blockchain-based assets, a crucial factor when it comes to mass adoption of cryptocurrencies.
Now, thanks to the help of the Waves Platform, Kazakhstan is jumping ahead of the curve to become the “second country to regulate cryptocurrencies”. Citing the need “for the development of the cryptocurrency market system at the governmental level”, Astana International Financial Center (AIFC) has announced the creation of a working group that will research possible ways to implement a healthy ecosystem that enables blockchain solutions for the CIS region. Nurlan Kussainov, CEO of AIFC Authority stated:
“AIFC aims to become a most favorable FinTech jurisdiction with an open ecosystem and the most progressive regulating framework. We thank our partners for the support given to our blockchain regulatory development initiative. In the next phase of the project, our working team will be looking at widening the participation to include other industry stakeholders.”
The news comes following the announcement by Waves and Deloitte who have partnered to provide Initial Coin Offering-related services and customized business-oriented blockchain solutions. Now, both Waves and Delloite, among others, are working with on the aforementioned research, having signed a memorandum with AIFC to that effect. Artem Tolkachev, Director of Legal Services for Technology Projects at Deloitte CIS stated:
“Creation of an enabling regulatory environment for blockchain projects is currently crucial and is included to the agenda of the most innovative economies around the world. We are glad to be a part of the created consortium and to participate in a regulatory development process based on the best world practices and a deep understanding of the industry”
The AIFC’s working group aims to develop a legislation that regulates cryptocurrency transactions and establish a healthy ecosystem that accommodates the use of blockchain technology and that stimulates innovative development of the technology in Kazakhstan. The working group will also be in charge of starting the dialog among businesses, citizens, and government.
The creation of the working group comes as good news for the Initial Coin Offering (ICO) scene, which has started to fall under scrutiny in some countries. The collaboration will create favorable conditions for ICOs, which will be able to use the legal and regulatory framework that is to be provided by AIFC’s working group. Sasha Ivanov, founder, and CEO of the Waves Platform stated:
“We are glad that the AIFC is trying to create the most favorable conditions for the development of blockchain technologies. To achieve this goal, concrete steps have already been taken, one of which was the creation of a working group. We are sure that the outcomes of this group, which includes the Waves Platform, will attract new investors to Kazakhstan and will help the country to be a new destination in the field of blockchain”