uzbekistan
Investing

Uzbekistan May Soon legalize Bitcoin and Cryptocurrencies with a New Law

Several countries are trying to support blockchain technology, cryptocurrency developments and start-ups and enterprises related to this industry. Uzbekistan, a country located in Central Asia, may soon pass a law that will legalize Bitcoin and other cryptocurrencies in the market.

Uzbekistan Legalizes Cryptocurrencies

The President of Uzbekistan, Shavkat Miriyoyev, has given the task of preparing the bill to the Central Bank, the Ministry of Information Technologies and Communications, the Finance Ministry and the Ministry of Economy. uzbekistan

Besides that, President Miriyoyev has instructed authorities to set up a special Centre for Distributed Leger Technologies. The intention is to build it within the Mirzo Ulugbek innovation centre. The centre will promote the sue of blockchain technology in different possible fields. Furthermore, the centre will improve and educate developers about the new trends and possibilities by using blockchain technology.

This is a strange position towards cryptocurrencies due to the fact that the government of Uzbekistan had the opposite attitude towards this technology. Indeed, the Central Bank of Uzbekistan proclaimed virtual currencies instruments of terrorism financing.

Since then, Abdulla Aripov, has embraced cryptocurrencies and blockchain technology. He attended “The Digital Agenda in the Era of Globalization” forum in Kazakshtan. Officials from the Commonwealth of Independent States (CIS) and the Eurasian Economic Commission (EEC), were present at Almaty, Kazakhstan’s financial capital.

Kazakhstan, China, Kyrgyzstan

Enterprises, individuals and governments are every single day more interested in cryptocurrencies and the possible uses of Blockchain technology. But at the same time, governments have been trying to regulate the market and put some limits to it.

For example, in China and South Korea, hard regulations have been implemented. In China, ICOs have been banned from operating in the country and cryptocurrency exchanges are forbidden. In South Korea, crypto exchanges have very hard requirements in order to operate and ICOs have also been banned.

Kazakhstan has decided to restrict some cryptocurrency activities like cryptocurrency mining. Besides that, the government wanted to restrict cryptocurrency exchanges.

During a conference in Astana, Daniyar Akishev, Central Bank’s Chairman commented:

“We sent our proposals to the government, in which we suggest carrying out a series of tougher measures, including prohibiting the exchange of the national currency for cryptocurrencies, prohibiting the activities of some companies that generate cryptocurrencies and so on.”

Additionally, Kazakhstan wanted to launch a national cryptocurrency as Venezuela did. The coin will be backed by assets like gold and will be “democratic and transparent.” Apparently, it will be called G-Global because a cryptocurrency “is global in nature.”

Kyrgyzstan, a country that shares border with some of China’s mining regions is trying to use cryptocurrencies in public contracts, according to Prime Minister Sapar Isakov. Kyrgyzstan will allow cryptocurrency payments in projects financed by the government in order to impulse the digital transformation of the country.

The main goal is to allow cryptocurrencies spread In projects related to government services, improving road controls and create a transparent society.

Kyrgyzstan premier said about that:

“Using cryptocurrencies will reduce corruption. We will be able to optimize government spending and increase budget receipts. We want to be a digital society.”