Coinbase Blocked in Kazakhstan: Digital Asset Law Violation Sparks Controversy

Coinbase, the world's second-largest crypto exchange by trading volume, is blocked in Kazakhstan for violating crypto laws that came into effect earlier this year. The move has sparked debate about digital asset regulation and the future of cryptocurrency trading in the Central Asian nation.

Kazakhstan Blocks Coinbase Access

The Kazakh government has blocked access to Coinbase in the country, citing violations of a new digital assets law, according to local media reports. Kazakhstan was quick to act after identifying the alleged violations.

Violation of the Law on Digital Assets

The authorities cited the Law on Digital Assets, enacted in February 2025, that forbids the issuance and trading of digital currencies and crypto exchange operations within the country's borders without proper licensing and adherence to specific regulations. The government claimed Coinbase violated “paragraph 5 of Article 111 of the Law of Republic of Kazakhstan on Digital Assets” in the country.

Official Confirmation from the Ministry

The Ministry of Culture and Information of the Republic of Kazakhstan has officially confirmed that it blocked access to the Coinbase website in the country, citing non-compliance with local regulations. The Ministry of Digital Development accused Coinbase of non-compliance with these regulations and sent a request to block the website across internet service providers.

What's Next for Crypto in Kazakhstan?

The Coinbase ban raises concerns about the future of cryptocurrency adoption in Kazakhstan. While the government aims to protect investors and prevent illicit financial activities, some argue that overly restrictive regulations could stifle innovation and drive crypto businesses to other jurisdictions. The situation remains fluid, and further developments are expected as both Coinbase and the Kazakh government address the issue.