Nasdaq-listed crypto treasury firm Solana Company has signed a significant cooperation agreement to aid the development of Alatau City, Kazakhstan’s planned, digital-focused megacity. The partnership was unveiled during the Alatau City Roadshow held this June in Shenzhen and Hong Kong, highlighting Solana Company’s ambition to support the region’s expansive digital infrastructure plans.
Agreement scope defined
Under the memorandum of understanding, both parties will work to advise on establishing blockchain and cryptocurrency infrastructure for Alatau City. The roadshow events in China also resulted in a total of 30 partnership agreements with a combined investment potential exceeding $6 billion.
Joseph Chee, Chairman and CEO of Solana Company, expressed his expectations to deepen the partnership and expand the Solana ecosystem’s presence across the region.
The collaboration between Solana Company and Alatau City will cover four main areas: digital asset treasury solutions, blockchain infrastructure deployment, accelerating institutional adoption of blockchain technology, and developing robust digital platforms for the city.
Alisher Abdykadyrov, CEO of the Alatau City Authority, specified that the agreement also includes Solana Company’s participation in the Alatau Crypto Cluster. This cluster is envisioned as a designated pilot zone and economic area within the new city, where the use of cryptocurrencies for daily transactions will be permitted.
Ties between Kazakhstan and Solana deepen
The agreement marks the latest move strengthening Kazakhstan’s relationship with the broader Solana ecosystem. Notably, last year saw the launch of Central Asia’s inaugural Solana Economic Zone in the nation’s capital of Astana, established in partnership with the Solana Foundation.
Just last week, the Kazakhstan Stock Exchange (KASE) introduced its first Solana ETF, providing investors access to regulated investment instruments linked to SOL price movements—making Central Asia’s major exchanges more accessible to digital asset investors.
Mini Glossary: An ETF is an exchange-traded fund tracking the performance of an asset or index. A Solana ETF allows investors regulated access to SOL’s price moves without direct token custody.
During the same roadshow, the Solana Foundation also signed a separate memorandum of understanding with Alatau City, pledging support to expand the city’s blockchain capacity and infrastructure.
Alatau City’s ambitious vision faces cautious realities
Kazakhstan’s President Kassym-Jomart Tokayev introduced the Alatau City project to the international community in May 2024. However, despite its global unveiling, the project remains in the early stages of planning and development, with many fundamentals still under consideration.
Plans envision Alatau City as an integrated smart city from the outset, anchored on artificial intelligence, digital identity, and blockchain technology. The project also foresees the use of low-altitude aerial vehicles, robotaxis, and autonomous drones for transportation and logistics, while proposing that the city’s economy be powered by hydrogen energy.
Nonetheless, the initiative faces significant hurdles. Independent assessment reports released in March highlighted concerns from both the National Bank of Kazakhstan and the Agency for Financial Monitoring about the potential need for constitutional amendments to support a crypto-based economy.
Additional independent sources have pointed to ongoing fundamental infrastructure issues in Alatau City’s designated region, such as continued challenges in accessing basic utilities like natural gas, water, electricity, and internet. While the project’s vision remains compelling for the future, these obstacles suggest considerable implementation timelines ahead.
