Kazakhstan Unveils Plans for ‘CryptoCity’ — A Bold Pilot Zone for Real-World Crypto Payments
President Tokayev outlines vision to position Alatau as a global blockchain innovation hub
ALMATY, KAZAKHSTAN – In a major stride toward digital finance adoption, Kazakhstan has announced plans to launch a full-scale crypto pilot zone — a bold initiative dubbed “CryptoCity” — where cryptocurrencies will be allowed as legal tender for everyday transactions.
President Kassym-Jomart Tokayev made the announcement on May 29 during his speech at the Astana International Forum 2025, emphasizing the country’s commitment to testing real-world use of digital assets under regulatory supervision.
“We are planning to create a pioneering pilot zone called CryptoCity where cryptocurrencies might be used for purchasing goods, services, and even beyond,” said President Tokayev in an official statement.
Why CryptoCity Could Be a Game-Changer for Central Asia
The pilot zone aims to operate as a regulatory sandbox, enabling Kazakhstan to explore digital currency payments in a controlled environment. CryptoCity will enable crypto payments for restaurants, real estate, and investments, offering a glimpse into a possible future of mainstream digital currency adoption.
According to Zhaslan Madiyev, Minister of Digital Development, Alatau — a research-driven town with strong tech infrastructure — is the leading candidate to host CryptoCity.
“Of course, the most promising place for CryptoCity is the new city of Alatau – it’s the President’s initiative,” Madiyev told Tengri News.
Alatau: The Birthplace of Kazakhstan’s Crypto Ambitions
Located near Kazakhstan’s southeastern border, Alatau was established in 1957 and is home to the Kazakhstan National Nuclear Center and the Institute of Nuclear Physics. It already houses the Innovation Technology Park, a designated special economic zone supporting tech and R&D.
Given its ecosystem, Alatau offers a strategic foundation for blockchain growth. The government believes that combining existing scientific institutions with crypto-friendly policies could attract foreign capital and top-tier tech talent.
Crypto to Be Used for Everyday Payments
Madiyev confirmed that the concept behind CryptoCity is not theoretical — it will involve real crypto transactions:
“The concept is that cryptocurrency would be used as a means of payment — to pay in restaurants, cafes, buy real estate, make investments. I believe this could be a major breakthrough for the blockchain industry.”
From CBDC to CryptoCity: Kazakhstan’s Rapid Digital Shift
The CryptoCity announcement follows Kazakhstan’s earlier 2024 CBDC pilot, which reportedly reduced VAT refund wait times. Officials now see even greater potential if crypto payments are widely legalized in a sandbox environment.
Kanysh Tuleushin, the country’s First Vice Minister of Digital Development, recently stated that Kazakhstan could become Central Asia’s crypto hub — provided regulatory barriers are eased.
Madiyev added that while laws still need to reflect these changes, development on the city has already begun:
“CryptoCity implies free circulation of cryptocurrency, crypto-friendly legislation and crypto as a legitimate means of payment. These conditions need to be reflected in the law.”
Kazakhstan’s Crypto Bet: More Than Just Infrastructure
Beyond the tech, this is a strategic move to attract global developers, blockchain companies, and fintech innovators. If successful, CryptoCity could serve as a real-world model for crypto payment adoption — far beyond tokens and speculation.
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