Law on Virtual Assets Comes into Force in Turkmenistan

From 1 January, Turkmenistan has enacted the Law on Virtual Assets, which legalises cryptocurrency mining and the operation of crypto exchanges. The legislation regulates the issuance, storage and circulation of virtual assets, while clearly stating that cryptocurrencies are not recognised as a means of payment, currency or security, but are considered an object of civil law. All miners are subject to mandatory electronic registration with the Central Bank of Turkmenistan, which becomes the key regulator of the sector. Covert mining is explicitly prohibited.

The law introduces strict requirements for the market: crypto exchanges and virtual asset service providers may operate only under licences issued by the Central Bank, while participation by offshore entities, political organisations and individuals with criminal records is prohibited. The use of state-related or national symbols in company names is banned. Advertising is also tightly regulated, requiring mandatory risk warnings and prohibiting the portrayal of cryptocurrencies as a “quick and easy” way to make money. The state bears no responsibility for potential losses, clearly defining the boundaries of the emerging digital sector.

Source: www.turkmenportal.com