Problems and Prospects of State Regulation of Cryptomining in Kazakhstan

Beimbet Mussin; Aigul  Kosherbayeva; Nurzhan  Kuandykov; Salamat  Yegeubayeva; Zukhra  Mussina

doi:10.5755/j01.ppaa.23.1.35833

Authors

Beimbet Mussin Student
Aigul Kosherbayeva
Nurzhan Kuandykov
Salamat Yegeubayeva
Zukhra Mussina

DOI:

https://doi.org/10.5755/j01.ppaa.23.1.35833

Keywords:

state regulation, cryptocurrency mining, content analysis, energy security, taxation framework, information agenda

Abstract

The cryptocurrency mining sector in Kazakhstan has witnessed remarkable expansion, attracting global miners due to favourable conditions. However, this growth has underscored the country's energy scarcity, leading to the enforcement of stringent regulations by the government. This article seeks to offer a thorough comprehension of the regulatory framework governing cryptocurrency mining in Kazakhstan. Examining diverse aspects such as the legal status of mining, licensing structures, tax considerations, and the impact on energy infrastructure, the study utilizes international experiences and stimulus materials. Through the analysis of media representation and examination of primary trends, it is revealed that while the government has addressed legal gaps and instituted transparent tax procedures, taxing digital mining may discourage foreign investments, given the industry's current fragility due to excessive regulations. The article provides insights into the regulatory landscape, emphasizing challenges and opportunities.

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