Kazakhstan bans Coinbase’s crypto services
The government of Kazakhstan blocked Coinbase exchange access to citizens citing as the exchange failed to comply with the country’s laws.
Coinbase is a top-ranked crypto exchange in the US and this exchange provides crypto services in almost every jurisdiction where crypto trading is legal. This year, Coinbase showed significant Inclination toward the crypto service expansion to the non-US jurisdictions at a big level, as the hostile regulatory environment in the US brought a very big pressure against crypto companies.
According to local media reports, Kazakhstan blocked the access of the Coinbase exchange website for the citizens. According to the Kazakhstan government, this American crypto firm failing to comply with the country’s digital assets law.
Kazakhstan’s Ministry of Culture and Information brought light on this matter and explained why Coinbase exchange facing this opposition from the government.
Ministry noted that Coinbase’s crypto services are directly violating paragraph 5 of Article 11 of its Law on Digital Assets.
As per Kazakhstan’s new digital assets law, the issuance and circulation of unsecured digital assets activities of crypto exchanges are prohibited in Kazakhstan, except within the Astana International Financial Center territory (AIFC). AIFC is a special region in this country which is also known as a hub of digital innovations.
Some media reports confirmed that Coinbase will not remain under this termination situation for long term because in the past a similar kind of incident happened with Interactive Brokers and NYMEX platforms but later they negotiated with the financial regulators to bring the services back accessible for citizens.
Currently, Coinbase exchange is in huge legal hurdles in the US jurisdiction, as the country’s top financial regulatory body the Securities and Exchange Commission (SEC) sued the exchange for providing unregistered securities offerings and running an unregistered national securities exchange.
Coinbase team is standing strongly against the SEC’s charges and is confident that it will easily win against the SEC’s allegations, as the exchange tried its best to follow laws & rules with a self-regulatory approach.
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