Alatau, Kazakhstan’s Futuristic Crypto City, Faces Ground-Level Realities

Crossroads Asia | Society | Central Asia

Alatau, Kazakhstan’s Futuristic Crypto City, Faces Ground-Level Realities

While officials promote Alatau as a model for digital innovation, existing residents continue to face basic infrastructure challenges.

Alatau, when it was still called Zhetigen, in 2023.

On March 20, Kazakhstan’s parliament convened to discuss the development of Alatau, holding the first reading of a bill granting the city special status. During the session, Deputy Prime Minister Kanat Bozumbayev sought to reassure lawmakers that the project would not devolve into a tax haven for wealthy foreigners.

“If we’re going to attract residents, we’re going to target those who will do something in the Alatau region,” Bozumbayev stated, adding that the city would not be reserved for a privileged few.

Yet in the months leading up to the parliamentary debate, much of the project’s public narrative has centered on high-profile, futuristic initiatives designed to distinguish Alatau from other Kazakh cities. Among these are plans for flying taxis, which Bozumbayev has said could begin operating within two to three years. The announcement followed closely on earlier plans for a 272-meter-tall skyscraper complex, including a five-star hotel, set to be constructed in the coming years.

While such projects underscore the government’s ambition, they stand in contrast to persistent concerns among those already living in the area. Residents who inhabited the territory before it was designated as Alatau have repeatedly raised issues about living standards, describing conditions that remain far removed from the futuristic branding. These concerns, however, have largely been overshadowed by the broader narrative of innovation and prestige.

The bill granting Alatau special status passed on March 27, formalizing a vision first outlined by President Kassym-Jomart Tokayev in his State of the Nation address last year. Alongside broader constitutional reforms, Tokayev proposed placing Alatau directly under government jurisdiction, a move officials argued would facilitate the city’s digital transformation.

Under the new framework, an “Alatau City Council” will be established, chaired by the prime minister and approved by the president. While this body will oversee strategic decisions, a separate municipal administration will handle social and public services.

Despite these governance structures, questions remain about whether the city’s institutional framework can keep pace with its ambitions. Since Alatau was formally designated as a city in 2024, residents have faced ongoing issues with access to drinking water and gas. Authorities have acknowledged these........

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