Administration
The Khitans ruled from their capital at Balasagun (in today's Kyrgyzstan). They directly controlled the central region of the empire. The rest of their empire consisted 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 also became vassals, before usurping the empire under Kuchlug.
The Khitan rulers adopted many administrative elements from the Liao Dynasty, including the use of Confucian administration and imperial trappings. The empire also adopted the title of Gurkhan (universal Khan). The Khitans used the Chinese calendar, maintained Chinese imperial and administrative titles, gave its emperors reign names, used Chinese-styled coins, and sent imperial seals to its vassals. Although most of its administrative titles were derived from Chinese, the empire also adopted local administrative titles, such as tayangyu (Turkic) and vizier.
The Khitans maintained their old customs, even in Central Asia. They remained nomads, adhered to their traditional dress and maintained the religious practices followed by the Liao Dynasty Khitans. The ruling elite tried to maintain the traditional marriages between the Yelü king clan and the Xiao queen clan, and were highly reluctant to allow their princesses to marry outsiders. The Kara-Khitai Khitans followed a mix of Buddhism and traditional Khitan religion, which included 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 paid their soldiers a salary.
The empire ruled over a diverse population that was quite different from its rulers. The majority of the population was sedentary, although the population suddenly became more nomadic during the end of the empire, due to the influx of Naimans. The majority of their subjects were Muslims, although a significant minority practiced Buddhism and Nestorianism. Although Chinese and Khitan were the primary languages of administration, the empire also administered in Persian and Uyghur.
Read more about this topic: Kara-Khitan Khanate