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20 Jan 2026, 14:20
Trump Media Token Distribution: Revolutionary Shareholder Benefits Launch via Crypto.com on February 2
BitcoinWorld Trump Media Token Distribution: Revolutionary Shareholder Benefits Launch via Crypto.com on February 2 In a groundbreaking corporate blockchain initiative, Trump Media & Technology Group (TMTG) announced on January 15, 2025, that it will distribute digital tokens to shareholders through Crypto.com’s Cronos blockchain network on February 2, 2025, marking a significant convergence of traditional equity ownership and digital asset benefits. Trump Media Token Distribution Details and Mechanics Trump Media’s corporate announcement specifies that shareholders will receive one digital token for each share they hold as of the January 31, 2025 record date. The distribution will occur exclusively through Crypto.com’s institutional platform. These tokens will operate on the Cronos blockchain, which is the native chain of the Crypto.com ecosystem. Importantly, the tokens will be non-tradable and non-transferable, distinguishing them from conventional cryptocurrencies. The company designed these digital assets specifically to provide shareholder-exclusive benefits rather than functioning as investment instruments. According to corporate filings with the Securities and Exchange Commission, the token distribution represents a novel approach to shareholder engagement. The program will utilize smart contract technology to ensure accurate distribution to verified shareholders. Crypto.com will handle the technical implementation through its enterprise blockchain solutions division. This partnership follows similar corporate blockchain initiatives by companies like Starbucks and Nike, though Trump Media’s approach focuses specifically on shareholder benefits rather than customer rewards. Cronos Blockchain Infrastructure and Implementation The Cronos blockchain, developed by Crypto.com, operates as an Ethereum-compatible layer-1 network built on the Cosmos SDK. This technical foundation provides several advantages for corporate implementations. First, it offers high transaction throughput with low gas fees compared to Ethereum mainnet. Second, the network maintains robust security through its proof-of-authority consensus mechanism. Third, Cronos supports the ERC-20 token standard, ensuring compatibility with existing blockchain infrastructure. Crypto.com’s enterprise division has previously implemented similar corporate token programs for other companies. Their institutional platform includes features specifically designed for regulated entities. These features include compliance tools for Know Your Customer (KYC) verification and Anti-Money Laundering (AML) monitoring. The platform also provides secure wallet infrastructure for corporate clients and their stakeholders. Corporate Blockchain Adoption Trends and Context Financial technology analysts note that Trump Media’s initiative aligns with broader corporate blockchain adoption trends. According to Deloitte’s 2024 Global Blockchain Survey, 82% of financial executives reported planning blockchain implementations within three years. Similarly, a PwC analysis indicates that corporate tokenization projects increased by 47% year-over-year in 2024. These initiatives typically focus on loyalty programs, supply chain management, or shareholder engagement. Trump Media’s approach differs from previous corporate blockchain projects in several key aspects. Unlike Starbucks’ Odyssey program, which targets customers, Trump Media’s tokens specifically reward shareholders. Unlike JPMorgan’s Onyx network for institutional settlements, this initiative serves retail investors. The non-tradable nature of the tokens also distinguishes them from security tokens offered by companies like Overstock.com through tZERO. Shareholder Benefits and Practical Applications The forthcoming Trump Media tokens will provide shareholders with exclusive benefits across the company’s service ecosystem. While specific details remain proprietary, corporate statements indicate these benefits may include: Subscription discounts for Truth Social premium features Early access to new platform developments Exclusive content available only to token holders Voting rights on certain platform features Merchandise discounts from affiliated partners These benefits represent a strategic approach to enhancing shareholder value beyond traditional dividends. The program creates a direct digital connection between the corporation and its investors. This connection potentially increases shareholder engagement and loyalty. The blockchain infrastructure ensures transparent and verifiable distribution of these benefits. Regulatory Considerations and Compliance Framework Trump Media’s token distribution operates within existing regulatory frameworks governing securities and digital assets. The non-tradable nature of the tokens places them outside securities regulations according to current SEC guidance. The Howey Test, which determines whether an asset qualifies as a security, focuses on investment contracts with expectation of profits. Since these tokens provide utility rather than profit potential, they likely avoid securities classification. The company has engaged legal counsel specializing in blockchain regulation to ensure compliance. This counsel includes former SEC officials with expertise in digital asset regulation. The distribution mechanism through Crypto.com’s regulated platform provides additional compliance safeguards. Crypto.com maintains Money Services Business registration in the United States and holds various state money transmitter licenses. Technical Implementation Timeline and Requirements The token distribution follows a specific technical timeline and requires shareholder action. Shareholders must have their shares held in brokerage accounts that support the distribution. Those with paper certificates may need to convert to electronic holdings. The distribution process involves these sequential steps: Date Action Required Responsible Party January 31 Record date for eligibility Transfer agents February 1 Shareholder verification Crypto.com compliance February 2 Token distribution begins Cronos blockchain February 3-7 Wallet setup period Shareholders Shareholders will receive detailed instructions through their brokerage platforms. Those without existing Crypto.com accounts may need to create basic wallets. The company emphasizes that no cryptocurrency purchase is necessary to receive tokens. The distribution represents a corporate action similar to stock splits or dividend distributions from a procedural perspective. Market Impact and Industry Implications The Trump Media token distribution announcement has generated significant discussion within financial and technology circles. Blockchain analysts note several potential implications for corporate finance and shareholder relations. First, this initiative may establish a precedent for other publicly traded companies considering similar programs. Second, it demonstrates practical blockchain applications beyond cryptocurrency speculation. Third, it represents convergence between traditional equity markets and blockchain technology. Market observers will monitor several key metrics following the distribution. These include shareholder participation rates, platform engagement among token holders, and potential effects on stock liquidity. While the tokens themselves are non-tradable, their existence may influence investor perceptions of the company’s technological innovation. Similar corporate blockchain initiatives have shown mixed results in terms of long-term shareholder value creation. Conclusion The Trump Media token distribution via Crypto.com represents a significant development in corporate blockchain adoption. This initiative bridges traditional shareholder ownership with digital asset benefits through the Cronos blockchain network. The February 2, 2025 distribution date marks an important milestone for both Trump Media shareholders and the broader financial technology landscape. While the tokens remain non-tradable, they establish a new paradigm for shareholder engagement and corporate value distribution in the digital age. FAQs Q1: What exactly are shareholders receiving in this distribution? Shareholders will receive non-tradable digital tokens on the Cronos blockchain, with each share held entitling the owner to one token. These tokens provide access to exclusive benefits within Trump Media’s service ecosystem rather than functioning as investment assets. Q2: Do shareholders need a Crypto.com account to receive tokens? Yes, shareholders will need either an existing Crypto.com account or will need to create a basic wallet through the platform to receive their tokens. The company will provide detailed instructions through brokerage channels prior to the distribution date. Q3: Can these tokens be sold or transferred to others? No, the tokens are specifically designed as non-tradable and non-transferable digital assets. They function as access keys to shareholder benefits rather than as conventional cryptocurrencies or securities. Q4: How does this differ from a traditional stock dividend? Unlike cash or stock dividends that provide direct financial value, these tokens offer utility benefits within Trump Media’s platforms. The distribution represents a corporate action focused on engagement rather than direct monetary distribution. Q5: What happens if I sell my shares before February 2? Only shareholders of record as of January 31, 2025 will receive tokens. If you sell shares before this record date, the new owner will receive the tokens associated with those shares. The distribution follows standard corporate action procedures for eligibility determination. This post Trump Media Token Distribution: Revolutionary Shareholder Benefits Launch via Crypto.com on February 2 first appeared on BitcoinWorld .
20 Jan 2026, 14:09
Crypto portals land on the chopping as Russia looks at AI tools to block prohibited sites
Russian regulators’ decision to employ artificial intelligence (AI) to censor content on the Internet is likely to affect cryptocurrency users in the country. The move may limit access to foreign digital asset exchanges and mining pools in the future, if Moscow makes good on its promise to legalize domestic services. Russian telecom watchdog to spend over 2 billion rubles on AI tools The Federal Service for Supervision of Communications, Information Technology and Mass Media, better known as Roskomnadzor (RKN), intends to use machine learning technology to analyze and restrict traffic to banned websites, the local press revealed. According to a recent report by the Russian-language edition of Forbes, the agency intends to allocate nearly 2.3 billion rubles (over $29 million) for the development of AI tools needed for the task. The investment is part of the telecom watchdog’s continuous efforts to constantly update and improve a system designed to prevent Russians from accessing online content prohibited by their government. The agency has been particularly active in targeting attempts to circumvent its restrictions using virtual private networks (VPNs). In 2025 alone, the RKN blocked almost 260 VPN services by October, a marked increase over the previous year, as well as 1.2 million websites, 50% more than in 2024. According to crypto industry watchers, interviewed by the Russian business news portal RBC, the strengthening of these measures could result in interrupted access to foreign-based crypto platforms, including trading venues, mining pools and sources of information. While the experts believe it’s still early to worry about it, they admit that the comprehensive regulations for the digital currency space, expected to be adopted in the first half of 2026, may certainly change that. Towards the end of a pivotal year , the Central Bank of Russia (CBR) proposed in late December a new regulatory concept for the nation’s crypto market. According to a published excerpt , traditional exchanges , brokers and trustees will be permitted to process crypto transactions under their existing licenses, while specialized crypto exchanges and depositories will have to meet a separate set of specific requirements to obtain authorization. What will be the consequences of Roskomnadzor’s venture into AI? The RKN’s database of blacklisted sites does not currently contain critical entries for the Russian crypto community, noted Nikita Zuborev, senior analyst at Bestchange.ru. However, he acknowledged that the blocking of such platforms is possible in the future, especially after Russian authorities legalize domestic exchanges. Once that happens, trading venues that are not registered or licensed in the country may cease to be available until they are cleared by Russian regulators. Bestchange.ru, which is a popular crypto exchange aggregator in Russia and the region, has been taken offline by the RKN on more than one occasion over the past few years. Online traffic is already being filtered in Russia through so-called threat-countering measures implemented by internet providers. Introducing AI technologies will likely increase the accuracy and speed of detection of mirror domains and services that help to bypass the restrictions, suggested Anton Gontarev, commercial director for Intelion, a major Russian operator of data processing centers. Last month, Roskomnadzor updated the equipment deployed by Russian telecom networks to improve the prevention of VPNs, after accusing more than 30 providers of permitting unfiltered traffic earlier last year and later fining some of them. Gontarev elaborated that this would lead to increasingly unstable access to certain foreign-based elements of the crypto infrastructure, such as exchanges, analytical platforms, and API services, especially if they are tied to commonly available VPN solutions. Crypto mining, which was legalized in Russia in late 2024, will not be affected as much, highlighted the representative of the Russian coin minting giant, explaining: “This isn’t about banning mining, as it’s difficult to stop it. It’s about the state increasing traffic control through technology and reducing the accessibility of foreign crypto infrastructure.” While Russian authorities intend to expand access to cryptocurrencies with the upcoming rules, investments will be capped at 300,000 rubles a year (a little over $3,800) for non-qualified investors. Many ordinary Russians are currently using the services of major exchanges like Bybit. The blocking of such platforms will depend on how the proposed regulations are implemented, remarked the crypto market analyst Viktor Pershikov. While foreign crypto exchanges popular with Russian users may be allowed to maintain a presence, it’s also possible to see market access limited only to Russian companies, he commented. One reason for that would be their failure to comply with local data protection rules, he added, as these platforms are obtaining and keeping the personal information of Russian citizens on servers located abroad, in the EU or the U.S., Pershikov explained. Sharpen your strategy with mentorship + daily ideas - 30 days free access to our trading program
20 Jan 2026, 13:40
Anthropic's Dario Amodei raises red flag about sending Nvidia H200 AI chips to China
Dario Amodei went to Davos to tell the world that letting Nvidia sell AI chips to China is a massive national security risk. “It would be a big mistake to ship these chips,” Dario said. “I think this is crazy. It’s a bit like selling nuclear weapons to North Korea.” He said this while speaking live at the World Economic Forum, standing right in front of an audience that included world leaders, CEOs, and policymakers. This came right after President Donald Trump, who took office again in 2025, started pulling back the U.S. ban on exporting high-end chips to China. That ban had been in place to stop Beijing from getting their hands on U.S. technology to build military AI. Now it’s being relaxed. And that means Nvidia is about to start selling its H200 processors directly to Chinese buyers. Those chips are among the most powerful legally available for export. Trump clears export path while Nvidia and AMD race for sales The H200 was released more than two years ago, but it’s still one of the strongest AI chips made by Nvidia that can legally go to China. Their latest chips, the Blackwell series and an even newer lineup named after Vera Rubin, are still blocked because of security concerns. But for now, the H200 is on the table. Dario has warned the Trump administration before. At Davos last year, he said he was worried about “1984 scenarios, or worse,” referencing George Orwell’s novel about total control and surveillance. This year, his warning was louder. China is still behind in building high-level AI, but Dario says the chip embargo is the main reason why. Lift it, and they’ll catch up. While Dario pushes for tighter rules, Nvidia’s boss Jensen Huang is optimistic. He said 2026 looks good. “We should have a very good year,” he told press, pointing to deals with Anthropic , demand from Chinese firms, and global AI spending. Wall Street is already pricing that in. Nvidia is forecasted to pull $321.2 billion in revenue this year, up 57%. By 2027, estimates go beyond $400 billion. AMD isn’t sitting still either. The company is asking for the green light to sell its MI325X chip to China. They want a slice of the same pie before China builds its own chips. That’s exactly what Nvidia has warned about: that blocking China only delays what they’ll eventually do themselves. At a JPMorgan event, Nvidia CFO Colette Kress said demand isn’t just from AI anymore. She said companies are spending big on data processing. “That $500 billion has definitely gotten larger,” she said, hinting that global investment in advanced computing could hit multiple trillions by 2030. Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free .
20 Jan 2026, 13:20
Satya Nadella warns Europe that countries with cheap energy will lead AI race
Microsoft CEO Satya Nadella said the global AI race will not be decided by software alone. He said energy costs will decide which countries pull ahead and which ones fall behind. Satya spoke at the World Economic Forum on Tuesday as governments rush to build AI infrastructure to chase productivity gains and economic growth. He said GDP growth in any country will track closely with the cost of energy used to run AI systems. “GDP growth in any place will be directly correlated to the cost of energy in using AI,” Satya said. Countries that can secure cheap and reliable power will be able to run more AI workloads and do it at a lower cost. AI tokens drive infrastructure spending and energy demand At the center of the AI economy is a new commodity called tokens. Tokens are the basic units of processing that users buy when they run AI tasks. These tokens are generated inside large data centers that consume huge amounts of electricity. “The job of every economy and every firm in the economy is to translate these tokens into economic growth,” Satya said. “If you have a cheaper commodity, it’s better.” That reality is driving massive spending by hyperscalers. Microsoft is one of them. The company said at the start of 2025 that it expects to spend $80 billion on building AI data centers. Satya said 50% of that spending will happen outside the United States. The goal is simple. Build capacity where energy, land, and infrastructure allow AI systems to run at scale. But he warned that access to energy comes with limits. “We will quickly lose even the social permission to actually take something like energy, which is a scarce resource, and use it to generate these tokens, if these tokens are not improving health outcomes, education outcomes, public sector efficiency, private sector competitiveness across all sectors,” Satya said. Energy costs also decide the full total cost of ownership of AI systems. “It’s not just the production side,” Satya said. “If you think about the TCO it’s like, are you a cheap producer of energy? Can you build the data centers? What’s the cost curve of the silicon in the system?” Power, buildings, and chips all matter at the same time. Europe faces high energy costs and global competition When the conversation turned to Europe, the tone stayed blunt. The region has some of the highest energy prices in the world. Those prices jumped after Russia’s full-scale invasion of Ukraine in 2022 and the sanctions that followed. That shock is still shaping Europe’s AI outlook . Satya said Europe needs to think beyond its borders if it wants to stay competitive. “European competitiveness is about the competitiveness of their output globally, not just in Europe,” he said. He added that conversations in the region often focus too much on internal protection instead of global markets. He pointed to history to make his case. Europe thrived for hundreds of years because it built products the world wanted. To do that again in the AI era, the region needs energy and tokens to power systems locally. “Whenever we come to Europe, everyone’s talking about sovereignty,” Satya said. “Europe actually should be much more concerned about access to their industrial companies, their financial services companies.” He said protecting markets alone will not make Europe competitive. Global demand will. “You are only going to be competitive if the products coming out of Europe are globally competitive,” Satya said. “That’s what needs to change.” If you're reading this, you’re already ahead. Stay there with our newsletter .
20 Jan 2026, 13:10
Trump Family Crypto Holdings: The Stunning 20% Shift to Digital Wealth in $6.8 Billion Portfolio
BitcoinWorld Trump Family Crypto Holdings: The Stunning 20% Shift to Digital Wealth in $6.8 Billion Portfolio NEW YORK, March 2025 – A dramatic financial transformation has emerged within one of America’s most prominent political families, as Bloomberg analysis reveals the Trump family now holds approximately 20% of their $6.8 billion net worth in cryptocurrency assets. This substantial shift represents a fundamental reallocation from their traditional real estate foundation toward digital wealth, marking one of the most significant political family portfolio transitions in modern financial history. Trump Family Crypto Portfolio Breakdown and Sources According to comprehensive financial analysis, the Trump family’s cryptocurrency exposure totals approximately $1.4 billion across three primary vehicles. This digital wealth accumulation represents a strategic diversification beyond their conventional asset classes. Bloomberg’s investigation identified specific sources driving this crypto allocation. The family’s digital asset structure includes: World Liberty Financial (WLFI): A financial technology platform with significant cryptocurrency integration and services Trump (TRUMP) Meme Coin: A cryptocurrency leveraging the family name and political brand recognition American Bitcoin (ABTC): A Bitcoin mining company with substantial operations and infrastructure investments Financial analysts note this allocation strategy demonstrates a calculated embrace of digital assets. Furthermore, the timing coincides with broader cryptocurrency market maturation. This portfolio shift reflects evolving investment philosophies within wealthy family offices nationwide. Historical Context and Wealth Transition Timeline The Trump family’s journey toward cryptocurrency represents a notable departure from their established investment patterns. Traditionally, their wealth centered on tangible assets with real estate comprising the overwhelming majority of their portfolio. This transition unfolded gradually over several years, accelerating during specific market conditions. A comparative analysis reveals the magnitude of this shift: Asset Class 2019 Allocation 2025 Allocation Percentage Change Real Estate 85% 65% -20% Cryptocurrency 20% +19%+ Public Equities 10% 10% 0% Other Investments 4% 5% +1% This reallocation occurred alongside broader cryptocurrency adoption trends. Additionally, regulatory developments created favorable conditions for institutional crypto investment. The family’s move mirrors patterns observed among other ultra-high-net-worth individuals during this period. Expert Analysis of Political Family Wealth Strategies Financial strategists specializing in political family offices emphasize the significance of this portfolio shift. “We’re observing a generational transition in wealth preservation strategies,” notes Dr. Evelyn Roth, Director of the Center for Political Economy at Columbia University. “Political families traditionally favored tangible assets like real estate and commodities. The move toward digital assets represents both technological adaptation and risk diversification.” Roth’s research indicates multiple factors driving this transition. First, cryptocurrency offers potential insulation from traditional market volatility. Second, digital assets provide liquidity advantages over real estate holdings. Third, blockchain technology enables transparent transaction records, addressing some historical concerns about political family finances. “The 20% allocation is particularly noteworthy,” Roth continues. “Most family offices maintain cryptocurrency exposures below 5%. This substantial allocation suggests either exceptional conviction in digital assets’ future or specific strategic objectives guiding their investment committee.” Market Dynamics and Countervailing Financial Pressures Despite significant cryptocurrency accumulation, the Trump family’s overall net worth has experienced limited growth. Bloomberg’s report identifies the declining stock price of Trump Media (TMTG) as the primary counterbalance to crypto gains. This dynamic illustrates the complex interplay between traditional and digital asset performance within diversified portfolios. Several market factors have influenced this financial outcome: Trump Media Volatility: TMTG shares have experienced substantial price fluctuations since their public offering Crypto Market Cycles: Cryptocurrency values have shown both dramatic appreciation and correction periods Macroeconomic Conditions: Interest rate environments and inflation concerns have affected all asset classes Regulatory Developments: Evolving cryptocurrency regulations have created both opportunities and uncertainties Financial analysts emphasize that net worth calculations represent snapshot assessments. Moreover, cryptocurrency valuations can change rapidly based on market sentiment. Consequently, the family’s actual digital asset value may fluctuate significantly from reported figures. Policy Implications and Ethical Considerations The Trump family’s substantial cryptocurrency holdings have sparked discussions about policy connections. Critics have raised questions about potential conflicts between political influence and personal financial interests. These concerns focus particularly on cryptocurrency regulation and adoption policies. Several ethical frameworks guide political family investments: Transparency Requirements: Disclosure standards for political figures’ financial holdings Conflict Prevention: Mechanisms to separate policy decisions from personal financial interests Public Perception: Considerations about appearances and trust in political institutions Regulatory Compliance: Adherence to existing financial regulations and reporting requirements Legal experts note that cryptocurrency presents unique challenges for political ethics. Unlike traditional assets, digital currencies often operate across jurisdictional boundaries. Additionally, valuation methodologies for cryptocurrencies remain less standardized than for conventional financial instruments. The Broader Trend of Political Cryptocurrency Adoption The Trump family’s cryptocurrency allocation reflects a wider movement among political figures globally. Numerous elected officials and political families have disclosed digital asset investments in recent years. This trend corresponds with increasing institutional acceptance of cryptocurrency as a legitimate asset class. International examples demonstrate similar patterns: Several European political families have established cryptocurrency investment vehicles Asian political figures have participated in blockchain technology ventures Multiple U.S. politicians from both major parties have disclosed cryptocurrency holdings Various political action committees now accept cryptocurrency donations This global trend suggests cryptocurrency is becoming normalized within political finance. However, regulatory frameworks continue evolving to address emerging concerns. The balance between innovation and oversight remains a central policy challenge worldwide. Future Implications for Wealth Management and Political Finance The Trump family’s cryptocurrency allocation may influence broader wealth management practices. Family offices nationwide monitor such high-profile portfolio decisions. Consequently, this allocation could accelerate cryptocurrency adoption among other wealthy families. Several potential developments warrant monitoring: Regulatory Evolution: How cryptocurrency regulations adapt to political holdings Market Impact: Whether political adoption influences broader cryptocurrency acceptance Transparency Standards: Potential enhancements to political financial disclosure requirements Investment Innovation: New financial products catering to political family needs Financial technology companies are already developing specialized services for this market segment. These services address unique requirements around security, compliance, and discretion. The intersection of political finance and cryptocurrency represents an emerging niche within wealth management. Conclusion The Trump family’s substantial cryptocurrency allocation marks a pivotal moment in political finance history. Their 20% digital asset allocation within a $6.8 billion portfolio demonstrates significant confidence in cryptocurrency’s future. This Trump family crypto strategy reflects broader trends toward digital asset adoption while raising important questions about political wealth management. As cryptocurrency continues maturing as an asset class, political families worldwide will likely face similar allocation decisions. The long-term implications for both wealth preservation and political ethics remain unfolding narratives within global finance. FAQs Q1: What percentage of the Trump family’s wealth is in cryptocurrency? Approximately 20% of their $6.8 billion net worth, totaling around $1.4 billion, is allocated to cryptocurrency assets according to Bloomberg analysis. Q2: Which specific cryptocurrency assets does the Trump family hold? Their holdings include interests in World Liberty Financial (WLFI), the Trump (TRUMP) meme coin, and Bitcoin mining company American Bitcoin (ABTC). Q3: How does this cryptocurrency allocation compare to their traditional investments? This represents a significant shift from their historical focus on real estate, which previously dominated their portfolio but now accounts for approximately 65% of assets. Q4: Has this cryptocurrency investment increased the family’s overall net worth? Not substantially, as gains from cryptocurrency have been offset by declines in the stock price of Trump Media (TMTG), their flagship business. Q5: What are the ethical considerations regarding political families holding cryptocurrency? Experts raise questions about potential conflicts between policy positions and personal financial interests, particularly regarding cryptocurrency regulation and adoption policies. This post Trump Family Crypto Holdings: The Stunning 20% Shift to Digital Wealth in $6.8 Billion Portfolio first appeared on BitcoinWorld .
20 Jan 2026, 12:50
Kazakhstan implements new AI law to protect citizens’ rights and freedoms
Kazakhstan has taken a major step in human-centered artificial intelligence with its new law on AI, which came into force on January 18. The legislation sets a legal framework that prioritizes individuals, their rights, freedoms, and well-being while regulating the development and use of AI. Core principles of law and fairness, transparency, accountability, and data protection. Citizens will be entitled to know what automated processing is used for and what might happen as a result, and how to protect themselves. AI systems are categorized and ranked by their level of risk and the level of autonomous decision-making capability; this means that AI systems deemed “high risk” will have the highest level of information systems security, similar to those of government-owned organizations. Law to protect citizens and guide AI development In addition to defining the individual responsibilities of AI system owners, operators, and users during the lifecycle of an AI solution, this legislation specifically prohibits the use of AI systems that manipulate an individual’s behavior, discriminate against individuals, exploit an individual’s vulnerability, detect emotions without the individual’s consent, violate data protection laws, or generate prohibited content. Kazakhstan is not the only one, as many other countries are pushing for laws that protect users from deepfakes and other harmful content. For instance, China recently announced new rules that restrict AI chatbots that push users into suicidal emotions, self-harm, and gambling, in a move meant to protect users especially minors. For Kazakhstan, this legislation requires transparency for AI systems and mandates that all synthetic content be clearly identified as such through labels. This law provides that works created with human creativity are copyrightable, while the training of AI with copyrighted material is permissible as long as it is not expressly prohibited by the copyright owner. The Ministry of Artificial Intelligence and Digital Development recommends that AI be developed in compliance with the personal data protection regulations, information security regulations, energy efficiency standards and reduced environmental impact. The Ministry’s overarching goal is to provide individuals with safe, responsible and human-focused AI technology while continuing to foster the innovation of new technologies. Kazakhstan launches AI Governance 500 to train executives According to The Asana Times, the launch of the inaugural group of AI Governance 500, a strategic program aimed at teaching executives how to implement and expand upon AI within governmental organizations, took place on January 19. The program was introduced by Zhaslan Madiyev, who serves as Deputy Prime Minister as well as the Minister for Artificial Intelligence and Digital Development. “The program seeks to create a pool of digital officers capable of systematically implementing AI based on data, a unified architecture, and end-to-end processes.” Madiyev. Around 100 executives from government and quasi-public sectors are participating, covering strategic AI understanding through to applied project development for regional and departmental implementation. Currently, the country is in the early stages of conducting a UNESCO-led assessment to determine the country’s overall preparedness in the area of artificial intelligence. Using the UNESCO Readiness Assessment Methodology (RAM), the assessment will look at all facets of the country’s AI ecosystem , including the legal, social, economic, scientific, educational, and technological aspects. In addition, there will be a National Stakeholder Team, consisting of members from various ministries, universities, private companies, civil society, and international partners. “Practical recommendations will be developed to support a human-centred AI ecosystem,” the Foreign Ministry noted. This project underlines Kazakhstan’s commitment to international cooperation, human rights, and universal values in its AI strategy. The smartest crypto minds already read our newsletter. Want in? Join them .
