Uzbekistan has decided to legalize the Bitcoin. According to a Presidential verdict, a law that will be regulating the “digital money” will be ready by the summer end. In addition, this country is planning to establish blockchain technologies’ center. Currently, cryptocurrency mining expenditures of Uzbekistan are the lowest across the world, reason being Uzbekistan is a well-known electricity producer. 

Adoption of Bitcoin Bill

The new verdict sign up by Shavkat Mirziyoyev (President of Uzbekistan) states that the institutions of Uzbekistan should prepare a law to regulate digital currencies legally by 1st September. The Central Bank, the Finance Ministry, the Ministry of Economy, and the Ministry of IT (Information Technologies) and Communications have been asked to make bill, reported by Vzglyad (a Russian online newspaper). 

Also, Shaykat Mirziyoyev has ordered authorities to establish a center specifically for Blockchain technologies along with Mirzo Ulugbek Innovation Center. The major responsibility of that special center is to “make situations for utilizing the blockchain”. The Center’s department will work in order to increase the qualifications and back the developers, mastering in Distributed Ledger technologies. This special center will open on 1st June 2018.

Moreover, the President of Uzbekistan also initiated for promotion and development of anonymous payments through expanding the global payment systems’ usage. Certain measures also needs to be decided in order to accomplish the aim by the month of June.


 

Positive Change in Central Asia

The verdict of the Uzbekistan President depicts a positive change regarding cryptocurrencies, such as Bitcoin. Previous comments from the Tashkent officials were indicating the different attitude. The Republic of Uzbekistan and the Central Bank representatives’ referred the digital currencies as “terrorism financing instruments”. Recently, Abdulla Aripov (the Prime Minister of Uzbekistan) supported the usage of blockchain technologies, reported Sputink. 

The Prime Minister took part in the forum “The Digital Agenda in the Era of Globalization” held in Almaty, Kazakhstan, where the EEC (Eurasian Economic Commission) and the CIS (Commonwealth of Independent States) officials were present. Additionally, the neighbor countries have also took positive steps in regard to the cryptocurrency sector. 

Besides, Kyrgyzstan also declared its intentions of using digital currencies in the public contracts. Astana’s Central Bank states that the city has no intentions of banning digital currencies, reported by news.bitcoin.com. Whereas Kazakhstan wants to prepare a new cryptocurrency, supported by assets. 

Another major advantage of Uzbekistan which can increase the prominence of the country in cryptocurrency market is it ranked third in mining expenses in a survey recently. In Uzbekistan, mining one Bitcoin costs only $1,790. In reality, the country is the biggest electricity producer in the province.