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Kazakhstan's President Praise for DeepSeek and Advocates for Cryptocurrency Policy Adjustments

Kazakhstan should expedite AI advancements and incorporate it into digital governance by the year 2025, according to President Kassym-Jomart Tokayev.

Kazakhstan's President Voices Appreciation for DeepSeek and Advocates for Cryptocurrency Regulatory...
Kazakhstan's President Voices Appreciation for DeepSeek and Advocates for Cryptocurrency Regulatory Changes

Kazakhstan's President Praise for DeepSeek and Advocates for Cryptocurrency Policy Adjustments

Kazakhstan is making significant strides in its artificial intelligence (AI) development and cryptocurrency policy, as outlined by President Kassym-Jomart Tokayev. The country aims to become a regional leader in technology and digital transformation by 2025.

**AI Development**

In a move to boost AI integration, Kazakhstan plans to open an AI Institute focusing on methodology, research, ethics, education, and software maintenance. The institute will support AI adoption in the educational system, complemented by extensive teacher training. Over 160,000 educators have already been trained in AI-related digital literacy and programming basics in 180 schools nationwide since early 2025.

Central Asia’s most powerful supercomputer is set to be unveiled in Almaty, serving government bodies, businesses, developers, and AI enthusiasts. This supercomputer will facilitate scientific research, big data analysis, and AI product development tailored to Kazakh language and culture.

Kazakhstan has also established an AI development council and is developing legislation to regulate AI usage and its industry. The country aims to open an international AI center, AlemAI, by the end of 2025 to foster innovation and global partnerships.

**AI Integration into E-Government**

While details on the integration of AI into e-government services are not explicit, the deployment of AI infrastructure and the focus on digital literacy suggest a governmental push towards enhancing digital public services. The supercomputer’s availability to government bodies indicates its role in improving decision-making and modeling technology-related risks, core aspects of e-government modernization.

**Cryptocurrency Policy Reform**

President Tokayev has announced the need to reform and develop Kazakhstan’s cryptocurrency policy by 2025, aiming to attract international crypto companies and foster the cryptocurrency ecosystem within a regulated framework. The president has called for a shift in the country's crypto policy, noting that 95% of local crypto investors operate in a "gray zone."

Cryptocurrency trading and exchange operations in Kazakhstan are currently only allowed under the jurisdiction of the Astana International Financial Centre (AIFC) with a valid license. Miners in Kazakhstan must obtain government approval, and the extent to which the government will regulate cryptocurrency trading and exchange operations outside the AIFC remains unclear.

The government has not yet stated any plans to change the requirement for miners to obtain government approval. Financial regulators are tasked with establishing the required legislative framework for digital assets, and the government will collaborate with law enforcement and financial regulators to combat online fraud. However, there is no information provided about the consequences for operating in the "gray zone" for cryptocurrency investors mentioned by President Tokayev.

Tokayev has instructed the government to begin implementing AI tools in state institutions and national companies to modernize government digital services and create a pioneering regulatory and innovation environment for cryptocurrencies through the establishment of CryptoCity, envisioned as a global hub for cryptocurrency experts and innovation.

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With the government's push towards modernization, Kazakhstan aims to utilize artificial intelligence (AI) in its financial sector, with plans to open an AI Institute focusing on research and ethics, and establishing an AI development council to regulate AI usage and its industry.

The reformed cryptocurrency policy could leverage technology, as President Tokayev plans to attract international crypto companies by implementing AI tools in state institutions and national companies, ultimately creating a pioneering regulatory and innovation environment for cryptocurrencies through the establishment of CryptoCity, a global hub for cryptocurrency experts and innovation.

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