The central bank of Kazakhstan intends to use Binance’s blockchain platform Bnb Chain for the deployment of its upcoming digital currency. The decision was made public on social media by Changpeng Zhao, the chief executive of the global crypto exchange which was recently licensed to work in the country.
Kazakhstan to Employ Binance Blockchain Infrastructure for Its Central Bank Digital Currency Project
Kazakhstan’s monetary authority is going to integrate its central bank digital currency (CBDC) into the Bnb Chain developed by Binance, the founder and CEO of the world’s leading crypto trading platform, Changpeng Zhao (CZ), announced on Twitter.
Binance was recently granted license to provide a range of services for digital assets, including exchange and custody, while operating from the Astana International Financial Center (AIFC), the Central Asian nation’s financial hub.
National Bank of Kazakhstan (NKB) will integrate their CBDC on @BNBchain. #BNB https://t.co/33WMKwAczm
— CZ 🔶 Binance (@cz_binance) October 27, 2022
On Wednesday, Zhao revealed that after it received the regulatory approval, the company met with the First Deputy Governor of the National Bank of Kazakhstan (NKB) Berik Sholpankulov and Binur Zhalenov, head of the bank’s Payment and Financial Technologies Development Center.
Representatives of the exchange introduced the central bank officials to the Bnb Chain community and discussed with them testing the integration of the digital Kazakhstani tenge with the blockchain platform. In a series of tweets, CZ also remarked:
If you’re not aware, NKB recently launched a CBDC pilot in a controlled environment and with real consumers and merchants.
Binance’s chief executive emphasized his team is looking forward to NKB preparing use cases for its digital currency which will allow it to be seen how they could be integrated into Bnb Chain. The ultimate goal will be to bridge the gap between traditional banking and the crypto ecosystem.
Kazakhstan, which became a hotspot for crypto mining in the aftermath of China’s crackdown on the industry last year, has been taking steps to regulate its crypto space, including the activities of coin trading platforms. A transaction for the purchase of bitcoin with the national fiat was recently conducted by a local bank and another licensed exchange, Intebix.
Binance has previously pledged support for the “safe development” the country’s digital asset market. The exchange and the government in Nur-Sultan recently agreed to share information on financial crimes involving cryptocurrencies under a Memorandum of Understanding signed with Kazakhstan’s Financial Monitoring Agency.
What do you think about the cooperation between Binance and Kazakhstan on the central bank digital currency project? Tell us in the comments section below.
Image Credits: Shutterstock, Pixabay, Wiki Commons, Zhanna Briede
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.
