Kazakhstan, one of the world’s leading bitcoin mining hubs, has marked a milestone in the region’s digital asset landscape with the launch of Central Asia’s first spot bitcoin exchange-traded fund (ETF). Astana-based Fonte Capital announced that the Fonte Bitcoin Exchange Traded Fund OEIC (BETF) will begin trading on August 13 at the Astana International Exchange (AIX), priced in U.S. dollars.
The move positions Kazakhstan alongside global jurisdictions such as the U.S., Canada, and Hong Kong that have approved spot bitcoin ETFs, allowing investors to gain direct exposure to bitcoin without managing private keys or dealing with crypto exchanges. The BETF structure holds bitcoin directly, with custody managed by U.S.-regulated BitGo, which provides insurance coverage of up to $250 million, offline cold storage, and secure vault facilities to address security and counterparty risks.
Kazakhstan emerged as a major bitcoin mining destination following China’s 2021 mining ban, leveraging abundant coal-based energy and supportive regulations. Now, the country is seeking to strengthen its role in the global crypto market by offering regulated investment products. The Astana International Financial Centre (AIFC), which regulates the ETF, provides a legal framework for digital assets that allows licensed exchanges, custodians, and investment products to operate while shielding assets from certain international sanctions and avoiding reliance on foreign issuers.
The BETF’s design allows for in-kind settlements and aims to maintain a low total expense ratio, reducing tracking error against the bitcoin price. Fonte Capital, registered with the AIFC since 2022, manages diversified investment funds and expects the ETF to attract both institutional and retail investors in Kazakhstan and abroad, creating a regulated pathway for exposure to the digital asset economy.
With neighboring Central Asian countries such as Uzbekistan and Kyrgyzstan maintaining more restrictive stances toward cryptocurrencies, Kazakhstan’s proactive approach could attract foreign capital and further integrate its financial markets with the global digital asset ecosystem.
