Kazakhstan has launched bitcoin and crypto payments to be used by over 5,000 retail stores through Binance Pay.
The partnership between Binance Pay and Alatau City Bank will allow shoppers to pay with Bitcoin and other cryptocurrencies at thousands of retail locations across Kazakhstan.
Kazakhstan introduced the payment system with a live demonstration for President Kassym-Jomart Tokayev on April 24. A wider rollout began in May, and within about two months, the service expanded to more than 5,000 payment terminals across the country.
For the transaction to be completed for the purchases, users will need to scan a QR code using the Binance Pay app.
The system will then convert the crypto into Kazakhstan’s national currency in real time before the merchant receives the payment.
According to Binance Pay, this system will help businesses get paid in local currency without being exposed to crypto price swings.
In addition, the payment service will be merged into the Alatau City Bank’s existing payment system. Traders will be able to easily accept crypto payments without replacing their current point-of-sale systems.
Kazakhstan’s regulatory sandbox has been given oversight over this service. Its function will be to test this payment service in a controlled environment before receiving wider approval.
Kazakhstan Strengthens Bitcoin Adoption and Crypto Payments
Kazakhstan is gradually increasing its support for the crypto sector through new regulations and blockchain initiatives. The country has also established itself as a major Bitcoin mining center over the past few years.
Earlier this year, President Kassym-Jomart Tokayev confirmed the payment system, signaling government backing. If the pilot delivers positive results, Kazakhstan could adopt a permanent framework.
According to Binance, the crypto payment service will make cryptocurrencies more useful in everyday life, instead of being used mainly for investment.
More crypto assets can now be spent on regular purchases at participating stores.
With more crypto payments now available at more than 5,000 stores, Kazakhstan is enlarging its view beyond mining. The latest rollout shows that the country is pushing to make Bitcoin and other crypto assets part of everyday business for Kazakhstan residents.
The crypto payment network will be tested through the National Bank’s regulatory sandbox.
The program will allow regulators to monitor the system before introducing permanent rules. It will also help them assess transaction activity, consumer adoption, and possible risks.
