In Uzbekistan, the National Agency of Prospective Projects (NAPP) made public its demand for cryptocurrency mining companies, stating that only businesses that employ solar energy would be permitted to mine Bitcoin or other cryptocurrencies.
The normative act, dated June 24, on the government website outlines the confirmation of “Guidelines on the registration of the crypto assets mining,” and it establishes July 9 as the completion date. The document’s second article uses uncompromising language in the following manner:
“Mining is being carried out only by the legal entity with the use of electric energy, provided by a solar photovoltaic power plant.”
The fact that the miners should own the solar photovoltaic power plant they will use to generate electricity adds to the complexity. Any mining operator must also receive a certificate and register with the national registry of cryptocurrency mining enterprises, according to the executive directive.
A short list of documents is required for this process, and it shouldn’t take more than 20 days from submission to the licensing body’s final judgment. After registration, the certificates are good for a year.
All of the money made from mining operations would be exempt from taxation, but the mining farms would be subject to special energy consumption tariffs set by the Uzbek government.
However, only exchange platforms with Uzbekistan registration numbers would be permitted to perform trade activities using mined assets. It would be forbidden to mine coins that are anonymous.
With the goal of implementing unique crypto regulating regime in the nation, the recently reformed NAPP was designated as the sole cryptocurrency regulator for Uzbekistan in April 2022.
This action was one of several that President Shavkat Mirziyoyev of Uzbekistan had taken to establish the regulatory environment for cryptocurrencies.
A regulation barring local businesses from establishing their own cryptocurrency exchanges in Uzbekistan was signed by Mirziyoyev in September 2018. Only cryptocurrency exchanges founded by foreign legal companies were given legal standing by the law.
