National Bank Launches Crypto Card and Digital Asset Pilot Projects

The National Bank of Kazakhstan has initiated a “crypto card” project and a series of pilot programs in the field of digital assets.

They will allow residents to withdraw profits from crypto exchanges directly to bank cards, Orda.kz reports.

The National Bank held a meeting with representatives of commercial banks, crypto exchanges, and fintech companies to discuss innovative financial services based on tokenization and digital assets. The discussion focused on integrating digital assets into the national financial system.

As a result, the National Bank announced the launch of the “crypto card” initiative. These payment cards will allow users to make cashless transactions linked to wallets held with licensed digital asset service providers (crypto exchanges) within the Astana International Financial Centre (AIFC).

This move is aimed at securely incorporating digital asset transactions into the traditional payment infrastructure.

According to the National Bank, the crypto card mechanism involves the sale of a user’s digital assets on the AIFC crypto market at the moment of payment. The equivalent amount is instantly credited to the crypto card, which functions as a standard payment card linked to a bank account.

This enables real-time conversion of cryptocurrency into traditional currency for payment transactions. This instant exchange is made possible through crypto-fiat integration between banks and AIFC crypto providers.

Additionally, several more pilot projects in the field of digital assets are planned for 2025 under the coordination of the National Bank. 

These include:

• Issuance of stablecoins backed by the national currency (including the digital tenge) for use in digital asset settlements
  
• Tokenization of financial assets and real estate, with token issuance equivalent to securities
  
• Development of systems for accounting and safekeeping of collateral for digital financial assets
  
• Establishment of services for crypto asset exchange operations and holding

In cooperation with relevant government agencies, the National Bank has also prepared draft legislation aimed at expanding the circulation of unbacked digital assets and establishing a regulatory framework for secured digital financial assets.

Original Author: Anastasia Prilepskaya