Key facts
- Kazakhstan has approved new rules for 'strategic digital mining' effective August 1, 2026.
- Miners must meet infrastructure requirements, including a 150 MW data center and specific hardware.
- Qualifying miners will receive electricity quotas at regulated tariffs.
- Miners are required to transfer 10% of mined digital assets to a state-backed reserve.
- Kazakhstan ranks fifth globally in Bitcoin mining activity.
Kazakhstan has enacted new regulations for its significant cryptocurrency mining industry, establishing a framework for 'strategic digital mining' aimed at building a national crypto reserve. Approved on July 18 and effective August 1, 2026, the rules require miners to meet stringent infrastructure standards, including a minimum 150-megawatt data center capacity and specific hardware capabilities. In exchange for electricity quotas at capped tariffs, qualifying miners must contribute 10% of their mined digital assets to a state-linked reserve managed by the National Bank's investment arm. The Ekibastuz GRES-1 coal plant is the first approved power source with a 300-megawatt quota. Kazakhstan, currently the world's fifth-largest Bitcoin mining hub, seeks to harness its mining base for state accumulation and investment in digital assets. The decree also outlines plans for tokenization platforms, exchange and custody services, crypto-fiat channels, and tax incentives for individuals using regulated infrastructure. A National Cryptocurrency Analysis Center is slated for mid-2027 to monitor transactions and combat illicit activities.