The National Bank of Kazakhstan has surprised all those who are interested in the crypto business by announcing its sudden plan to ban cryptocurrency in Kazakhstan. In fact Kazakhstan’s central bank has some serious plans to prohibit the use of all kinds of cryptocurrencies. All this information was disclosed in a report published by Sputnik News which is the official news outlet of the Russian government. According to that report all this information was personally revealed by Daniyar Akishev who is the chairman of National Bank of Kazakhstan.
Reasons for ban on Cryptocurrencies?
Daniyar Akishev further added to his statement that the National Bank of Kazakhstan had to take this decision to ban the exchange of digital currencies for the national currency of Kazakhstan at the moment. The cryptocurrency exchanges and miners operating within Kazakhstan would also be banned completely and no such activity will be allowed within the borders of Kazakhstan. When asked about the reason behind that action he stated that the main reason was the vast number of problems associated with the user’s rights. That’s why the country’s central bank wants to prevent its residents from converting the nation’s fiat currency from any sort of crypto exchange within Kazakhstan.
Further Risks Daniyar Akishev Sees
When asked further about the reasons behind that ban Akishev said that he probably sees a lot of problems associated with cryptocurrencies, main reason being the protection of user’s rights. He also stated that the possibility of using cryptocurrency to commit illegal activities is also one of the major reasons behind that ban. The statement of Daniyar Akishev cannot be overlooked as far as the illegal use of cryptocurrencies is concerned. Cryptocurrency has become an ideal way of money laundering and to escape taxation around the world.
It is not the first time that Daniyar Akishev has showed his concern about cryptocurrencies. He had also stated last year in October that the National Bank of Kazakhstan was planning to prohibit activities related to cryptocurrency to protect its residents from the vast risks associated with these transactions. At that time his suggestions were to prohibit the:
- Exchange of the national currency for cryptocurrencies.
- activities regarding the generation of cryptocurrencies.
However, it is also a fact that the local community of Kazakhstan is showing extra ordinary interest in cryptocurrencies. According to a survey by Yandex, this interest has become 15-fold as compared to the previous years. According to that survey the citizens of Kazakhstan were showing 10 times more interest in search results related to crypto mining and how to mine.
Do not forget to share your thoughts regarding this ban in the comments section below.