Authorities tighten anti-money laundering controls as crypto oversight intensifies
Kazakhstan’s Financial Monitoring Agency (AFM) has intensified its crackdown on illegal cryptocurrency activity, closing 130 crypto platforms and seizing nearly $17 million in digital assets linked to money laundering and unregistered trading operations in 2025.
The move highlights the country’s growing commitment to combating financial crimes in the digital asset space, even as it positions itself as one of Central Asia’s emerging crypto hubs.
“The AFM has identified and shut down 130 illegal crypto exchangers this year,” an agency spokesperson confirmed, adding that authorities also confiscated $16.7 million worth of cryptocurrencies involved in fraudulent and money-laundering schemes.
New AML Regulations for Money Transfers
In a further tightening of oversight, Kazakhstan is implementing new anti-money laundering (AML) measures for domestic money transfers.
According to AFM Deputy Chairman Kairat Bizhanov, all bank card top-ups exceeding 500,000 tenge ($925) will now require verification of the sender’s Individual Identification Number (IIN).
The number of unlicensed crypto platforms dismantled jumped from 36 in 2024 to 130 in 2025, according to AFM data.
Previously, only the recipient’s IIN was required, but officials are introducing stricter sender authentication to improve transparency.
Bizhanov also mentioned that mobile app or SMS confirmations could soon become mandatory for high-value transfers.
“These reforms strengthen traceability and accountability in digital finance,” Bizhanov said during a government briefing.
Sharp Rise in Illegal Crypto Exchangers
These platforms, often referred to as “crypto exchangers”, operate like informal currency offices rather than centralized exchanges (CEXs).
Meanwhile, the Astana Financial Services Authority (AFSA) maintains a public register of 20 approved crypto providers, including major exchanges such as Bybit and WhiteBIT.
The contrast underscores the country’s dual approach — encouraging regulated innovation while cracking down on unlicensed actors.
Kazakhstan Balances Crypto Growth with Regulation
Kazakhstan continues to position itself as a regulated crypto hub, pioneering initiatives like stablecoin-based payments for government fees and launching Central Asia’s first spot Bitcoin fund.
However, the AFM’s aggressive enforcement signals that compliance and transparency are becoming non-negotiable for crypto operations within the country.
It remains unclear whether the seized $16.7 million will be integrated into the planned state-backed crypto reserve, as the framework for the reserve is still under government review.
Kazakhstan’s 2025 enforcement wave shows a clear message: innovation in crypto will only thrive under strong regulatory supervision.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.