May 25, 2022

Individuals in Uzbekistan banned from mining cryptocurrency

President of Uzbekistan Shavkat Mirziyoyev signed a bill on regulating the circulation of cryptocurrencies, which prohibits individuals from mining digital assets.

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According to the decree, the extraction of virtual currencies canengage only legal entities. Miners connected to the unified energy system will have to pay for electricity at a double rate. The regulation also introduces a ban on the mining of anonymous cryptocurrencies.

From January 1, 2023, residents of the country will have the right tosell and buy digital assets only on platforms owned by exchanges registered in Uzbekistan, mining pools, crypto shops and crypto depositories that have received licenses from the government. Any transactions related to virtual currencies will not be taxed.

Cryptocurrency turnover control functionentrusted to the National Agency for Perspective Projects. This agency will monitor the observance of the rights of investors, develop mechanisms to combat the illegal use of digital assets and support projects aimed at integrating blockchain technology into the public administration system.

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