SNEAK PEAK:
- The Republic of Kazakhstan has approved new crypto legislation.
- Authorized mining pools and firms are necessary for mining.
- Pools need to provide miners’ data for tax purposes.
Recent reports that were shared on the Twitter account of Wu Blockchain suggest that the government of Kazakhstan has recently approved new regulations for the cryptocurrency industry in the country.
Kazakhstan has finally approved new legislation for the crypto industry, which will come into effect on April 1, 2023. Mining requires authorized mining pools and farms. Pools need to provide miner’s data for tax purposes. Miners must sell part bitcoins on approved exchanges.
— Wu Blockchain (@WuBlockchain) February 7, 2023
According to the data, the new legislation is expected to go into effect on April 23 of this year.
The Central Asian nation has been having trouble keeping up with the rising demand for electricity as a result of the influx of Bitcoin (BTC) miners and illicit operators in the country over the past couple of years, which has put a strain on the grid infrastructure.
However, according to the new regulation, cryptocurrency miners are expected to conduct mining activities in such a manner that all miners are supposed to have authorized mining pools and cryptocurrency firms. In addition, the pools have a responsibility to supply cryptocurrency miners with data that can be used to keep track of their tax information.
In a similar vein, cryptocurrency miners in the country are required to sell their cryptocurrency only on cryptocurrency exchange platforms that have been given the right to operate in the country. One example of such a platform is Binance, which is the largest cryptocurrency exchange platform worldwide.
In other headlines associated with this topic, the government of Kazakhstan has formed a partnership with the cryptocurrency exchange Binance with the goal of educating its citizens about blockchain technology.
According to a blog post that was published by Binance, the purpose of this agreement is to deliver instruction on blockchain technology to about 40,000 people across the country by the year 2026. To help execute this large-scale initiative Binance partnered with the Research Lab ‘Blockchain Center’.
