Balasagun Chüy Kyrgyzstan

Remnants of the Liao, defeated by the Jurchen in their homeland in the north and northeast of modern day China, flee westward into Central Asia by way of Mongolia in 1125; led by by Yelü Dashi, who also recruits warriors from various tribes and moves westward.

Yelu occupies Balasagun on the Chu River, then defeats the Western Karakhanids in Khujand in 1137.

The Kara-Khitans rule from their capital at Balasagun (in today's Kyrgyzstan), directly controlling the central region of the empire.

The rest of their empire consists of highly autonomous vassalized states, primarily Khwarezm, the Karluks, the Kara-Khoja Kingdom of the Uyghurs, the Qanglï, and the Western, Eastern, and Fergana Kara-Khanids.

The late-arriving Naimans have also become vassals.

The Khitan rulers adopt many administrative elements from the Liao Dynasty, including the use of Confucian administration and imperial trappings.

The empire also adopts the title of Gurkhan (universal Khan).

The Khitans use the Chinese calendar, maintain Chinese imperial and administrative titles, give its emperors reign names, use Chinese-style coins, and send imperial seals to its vassals.

Although most of its administrative titles are derived from Chinese, the empire also adopts local administrative titles, such as tayangyu (Turkic) and vizier.

The Khitans maintain their old customs, even in Central Asia.

They remain nomads, adhere to their traditional dress, and maintain the religious practices followed by the Liao Dynasty Khitans.

The ruling elite tries to maintain the traditional marriages between the Yelü king clan and the Xiao queen clan, and are highly reluctant to allow their princesses to marry outsiders.

The Kara-Khitai Khitans follow a mix of Buddhism and traditional Khitan religion, which includes fire worship and tribal customs, such as the tradition of sacrificing a gray ox with a white horse.

In an innovation unique to the Kara-Khitai, the Khitans pay their soldiers a salary.

The empire rules over a diverse population that is quite different from its rulers.

The majority of the population is sedentary, although the population suddenly becomes more nomadic during the end of the empire, due to the influx of Naimans.

The majority of their subjects are Muslims, although a significant minority practices Buddhism and Nestorianism.

Although Chinese and Khitan are the primary languages of administration, the empire also administers in Persian and Uyghur.