At the government session chaired by the Prime Minister of the Republic of Kazakhstan Alikhan Smailov, measures were considered to fulfill the instructions of the President of the Republic of Kazakhstan Kassym-Jomart Tokayev, which were given at an expanded meeting of the Government on Feb. 8, 2022. The Minister of Digital Development, Innovation and Aerospace Development Bagdat Mussin reported on the measures taken by the department.

On digital mining, work will be built in 3 main areas.

In terms of "gray mining»:

First, the Ministry will introduce a system of revolving checks of mobile groups created by the Ministry of Energy and law enforcement agencies.

Second, for their systematic identification, a list of organizations will be created, historical data on energy consumption will be determined, and a specific algorithm for tax and customs audits will be built.

Third, together with the authorized bodies, mechanisms will be developed to prohibit the actions of gray miners by limiting IP addresses.

Also, one of the options proposed by the ministry of decisions will be to discuss the issue of confiscation of the property of "gray miners" in the legislation.

This work will be carried out jointly with the National Security Committee of the Republic of Kazakhstan, the Ministry of Energy of the Republic of Kazakhstan and the Ministry of Finance of the Republic of Kazakhstan.

In terms of regulation, the ministry will introduce licensing of digital mining.

“The main criterion is compliance with technical requirements: the availability of the necessary equipment, appropriate premises for fire safety. We will also develop a quota system for electricity with the development of a separate tariffication, which will allow us to build a transparent process, both for existing market players and for the state as a whole,” Minister Mussin said during a meeting of the Government of the Republic of Kazakhstan.

Together with the Ministry of Finance of the Republic of Kazakhstan and the Ministry of Energy of the Republic of Kazakhstan, as well as taking into account international experience and Kazakhstani realities, the Ministry of Digital Development, Innovation and Aerospace Industry will determine the optimal taxation system.

“Here it is important to take into account the risks in terms of the competitiveness of our market, maintaining the interest of players in working in our country, so as not to repeat the Chinese experience. The priority, of course, is the presentation of counter obligations to ‘white miners’ in terms of compliance with ESG requirements,” the Minister of Digital Development explained.

The bill on digital assets was initiated by a group of deputies of the Majilis. These measures will be discussed within the framework of the submitted bill.

On creating an ecosystem for the development of the mining industry in Kazakhstan

During the meeting of the Government of the Republic of Kazakhstan, Bagdat Mussin explained that the ecosystem being created for legal mining would meet international standards. The plans of the ministry include the creation of crypto-exchanges in Kazakhstan, the launch of a pilot for banking services for crypto-exchanges, as well as the creation of mining pools.

As part of the issue of paying citizens a part of the rent for housing, Minister Mussin said that on the basis of the Otbasy Bank platform, an application process was organized using an EDS and automatic verification of the applicant's compliance with the requirements of the program.

Verification of the applicant's data will be verified by integrating with the state databases of the Ministry of Digital Development, Innovation and Aerospace Industry, the Ministry of Justice, the State Revenue Committee of the Ministry of Finance, the Ministry of Education and Science, the Ministry of Labor and Social Protection, NJSC "Government for Citizens". The possibility of forming contracts and online registration in state databases based on Blockchain technologies is provided.