Head Of NPC Kazakhstan Performs First Transaction With Digital Tenge Currency

JAKARTA - Head of Kazakhstan's National Payment Corporation (NPC), Binur Zhalenov, has made the first transaction with a new digital currency of the country's central bank (CBDC), which is called a digital tenge. During his speech at XI of the Financial Congress in Almaty on November 15, he paid with a debit card connected to a CBDC account, according to local media report, Capital.kz.

Zhalenov announced the official launch of digital tenge in the Kazakhstan retail market that day, promising "mass platform development" in 2024. According to the official, Kazakhstan is working with Visa and Mastercard, as well as local banks, to integrate CBDC into plastic cards.

"It allows you to pay digital tenge from anywhere in the world, using Apple Pay, Samsung Pay, and other devices," he said.

Zhalenov also highlighted the potential of programming from digital tenge, which can be used in smart contracts, innovative financial services, and digital asset transactions. In 2024, he said, the development of CBDC will focus on offline payments, and by 2025, the NPC hopes to adopt digital tenge in cross-border trade.

Digital tenge development began in February 2023, with an initial launch deadline of 2025. The NPC itself was founded in September to lead the development and implementation of the CBDC.

Simultaneously with the rapid launch of the CBDC, Kazakh authorities have tightened their surveillance of the crypto market. In September, local media reported issues of access to Coinbase, Kraken, and other major international crypto exchanges without local licenses. In October, local crypto mining operators signed an open letter to President Kassym-Jomart Tokayev, asking for a tax cut recently introduced to mining activities.