Kazakhstan to integrate its CBDC on BNB Chain

The National Bank of Kazakhstan will integrate its central bank digital currency (CBDC) on BNB Chain. It was reported by Binance CEO Changpeng Zhao.

Now the crypto exchange is preparing for the trial deployment of the digital tenge. The Binance team is waiting for representatives of the National Bank of Kazakhstan to provide real use cases of their CBDC in order to understand how to integrate it with the platform.

Changpeng Zhao noted that the crypto exchange aims to increase the adoption of cryptocurrencies worldwide. The Binance team met with representatives of the National Bank of Kazakhstan and the Payment and Financial Technologies Development Center, presented BNB Chain to them and talked about testing the CBDC using this network. Later it became known that the regulator had decided to test use cases for its CBDC using the blockchain network.

The National Bank of Kazakhstan has set up the Central Bank Digital Currency project as early as last year. The options of using the digital currency will be presented before the end of this year.

The representatives of the bank said that the set-up of the digital tenge will improve cross-border payments and increase financial easiness of access. Digital currency will become an extra tool for state bodies and financial institutions. It will allow the creation of new services based on smart contracts. At the same time, the regulator clarified that the digital tenge will not become a fully valid replacement for fiat currency.

This summer, Binance has received the in-principle approval from AFSA. And this month, the company obtained a perpetual operating licence for Kazakhstan. Now the exchange can officially provide custody and commercial services within the country. The committee of the Astana Financial Services Authority noted that Binance’s vast experience will foster the development of the digital currency market in Kazakhstan and create the necessary momentum for the country’s transformation into a crypto hub of the region.