The government of Kazakhstan is reportedly planning to officially qualify local cyberbanking institutions to open up bank accounts for cryptocurrency transactions.

Several banks in Republic of kazakhstan volition soon be officially approved to service companies and businesses providing exposure to cryptocurrencies like Bitcoin (BTC), local news channel Khabar 24 reported Sunday.

Citing executives from the Data Center Manufacture and Blockchain Association of Republic of kazakhstan, the report notes that it is unclear what financial institutions or banks would participate in the pilot project. Cryptocurrency exchanges will exist able to cooperate with banks by signing up for the project at Astana International Fiscal Centre, a major financial hub in Kazakhstan.

The pilot project will reportedly run for ane year, aiming to enable local crypto businesses to legally provide crypto investment services and let investors to buy and sell cryptocurrencies similar Bitcoin safely. As part of the project, the Kazakhstan regime too intends to assess the potential risks associated with digital currency investment as crypto trading is not yet legally adopted in the state, the report notes.

The Data Center Manufacture and Blockchain Association of Kazakhstan did not immediately respond to Cointelegraph's asking for annotate.

Related: Kazakhstan's regime to create roadmap for developing crypto market

The news comes amid the Republic of Republic of kazakhstan cartoon increased attending from global cryptocurrency miners due to an ongoing crypto mining crackdown in China. Some of the largest Chinese crypto mining companies, Bitmain and Canaan, have started working with entities in Republic of kazakhstan to run mining facilities and services in the country.

Despite the crypto mining manufacture increasingly gaining momentum in Kazakhstan, it is all the same as well early to advise a serious relocation of Chinese crypto mining powers to the country, the association's president Alan Dordjiev noted.