Kazakhstan’s National Digital Currency and Crypto Mining

Kazakhstan is one of the largest countries in the world and it has the most developed economy in the region. Moreover, authorities are willing to embrace a new national digital currency. Furthermore, officials presented a plan regarding national digital currency development in early July. The country plans to double digital currency investment by the end of this year.

It is worth mentioning that, Kazakhstan has a huge potential when it comes to developing the local crypto industry. The country became the major global mining hub due to low electricity prices.

This is not the end of the story, as Kazakhstan expects the total amount of money invested in local crypto mining operations to double by the end of 2020.

Additionally, Kazakhstan wants to attract $738 million from investments in crypto-related mining activities over the next three years.

Moreover, the country’s government de facto legalized crypto mining. Thus, it will be easier to persuade companies to invest in crypto mining.

National digital currency and corruption

According to the Chairman of Kazakhstan’s anti-corruption service, Alik Shpekbayev, it is possible to fight corruption in the country.

He also mentioned China’s digital yuan in his talk. Importantly, the national digital currencies have the potential to contribute to a more transparent financial system.

People should take into account that; implementation of the national digital currency should inevitably reduce transactions in cash. Consequently, it will be easier to tackle corruption.

Many believe that digital tenge has the potential to prevent corruption at the governmental level. Notably, digital tenge will provide full transparency when it comes to tenders. According to Alik Shpekbayev, the national digital currency will allow to significantly reduce transaction costs. Consequently, thanks to the national digital currency, it will be possible to forget about transaction fees. As mentioned above, the national digital currency has the potential to tackle several problems, such as corruption and transaction fees.