Today, cryptocurrency and digital mining are attracting more interest from investors. At the same time, digital mining is expensive and risky business, which has become complicated by the different approaches of states to the legal regulation in this industry. Therefore, investors need to learn the project’s costs and choose a profitable jurisdiction for the implementation of their projects.

We note that the legal regulation of digital mining is now at the stage of formation in Kazakhstan. So, the article reflects the information based on current legislation.

Yes, digital mining is legal in Kazakhstan. In July 2020, Kazakhstan legislation established a legal regime for mining and cryptocurrency. About 17 mining farms are already working officially in Kazakhstan. 

Yes, as of the date of publication of this article, Kazakhstan legislation provides for the following business authorizations for digital mining activity:

  1. A company must notify the Ministry of Digital Development, Innovation and Aerospace Industry of the Republic of Kazakhstan about the planned activities (before design) for the construction of data centers (mining farms).

Are there any special taxes on digital mining in Kazakhstan? 

Yes, from 1 January 2022, a tax on digital mining comes into force in Kazakhstan. The tax rate – 1 tenge ($0,0023) per 1 kilowatt-hour of electrical energy consumed by digital mining. 

Some general taxes in Kazakhstan include: CIT - 20%, VAT - 12%, PIT - 10%.

Kazakhstan legislation has neither rules governing operations with hash rates directly nor restrictions on this issue. Therefore, operations with hash rates are legal in Kazakhstan.

Authors: Saule Akhmetova, Partner

Damir Abdrakhmanov, Junior Associate

For additional information, please visit, or contact:

Assel Ilyassova, Partner, Head of Tax Department

E: [email protected]