Digital Tenge to Become Legal Tender from July 18

From July 18, norms establishing the digital tenge as a digital form of the national currency and legal tender will come into force in Kazakhstan. The relevant provisions are provided for in the law on regulation and development of the financial market, communications and bankruptcy. This was reported by Qazaqyia.kz citing Kursiv Media.

Only the National Bank will be able to issue, put into circulation and redeem digital tenge. All transactions will be carried out through its digital tenge platform.

A digital account will be opened based on a client's application after concluding an agreement. Participants of the platform can be banks, organizations carrying out certain types of banking operations, the Central Depository, the Treasury Committee of the Ministry of Finance, other payment service providers and legal entities determined by the National Bank.

Through a digital account, it will be possible to receive and transfer digital tenge to other account holders, convert them into cash or non-cash money, and also obtain information about the balance and transactions performed.

The law also provides for the possibility of seizure of digital tenge on grounds established for money in bank accounts. In this case, the features of smart contracts and marked digital tenge must be taken into account.

Payments and transfers will be made only within the amount on the digital account. Savings digital accounts cannot be opened.

The digital tenge platform has been operating in Kazakhstan since 2023 as part of phased implementation and pilot projects. The new norms consolidate its legal status and circulation procedure.

Earlier, Kursiv wrote that Kazakhstan is expanding the use of digital tenge when spending budget funds. Until the end of 2026, it will be used in certain public procurements and transactions over 100 million tenge, including the purchase of medicines, fuel, construction, road repairs and acquisition of transport. The mechanism will allow tracking the movement of funds in real time and limiting their use strictly to established purposes.