Uzbekistan bans citizens from buying cryptocurrency

On December 25, the National Agency for Project Management under the President of the Republic of Uzbekistan introduced a ban on citizens buying cryptocurrencies, including on legal exchanges.

This decision came as a surprise to many.since previously the country’s government showed a relatively loyal position towards digital currencies, and last year the government began licensing crypto exchanges, mining companies, ICOs, and a state blockchain development fund was opened.

Although the new provisions of the law prohibit the purchase and sale of crypto assets,but current coin and token holders can stillsell your savings on any of the two local exchanges after passing the KYC procedure, in order to avoid money laundering. At the same time, the ownership and transfer of any cryptocurrencies whose legal origin cannot be confirmed are considered illegal.

Experts note that such a ban may be ineffective, because citizens can get around it by gaining access to foreign trading floors using a VPN.

Although there are no such bans in Russia yet, the Central Bank will support such an initiative at the legislative level if it is proposed.