Turkmenistan legalizes crypto mining and exchange activities in boost to digital economy

President of Turkmenistan Serdar Berdimuhamedow has signed the “On Virtual Assets” law, which will officially legalise cryptocurrency mining and exchange activities in the country from 1 January 2026.

The legislation defines virtual assets as objects of civil rights, while explicitly stating that they are not legal tender or official currency.

This approach reflects Ashgabat’s cautious yet deliberate strategy of embracing new technologies without destabilising the national financial system.

Under the law, both individual entrepreneurs and companies will be permitted to conduct mining operations, provided they register with the Central Bank and comply with safety requirements.

This framework effectively prohibits unauthorised or hidden mining, allowing the state to control cryptocurrency production volumes and mitigate potential risks to the energy infrastructure.

At the same time, crypto exchanges and other virtual asset service providers will operate only under Central Bank licensing, and wallet creation will require full client identification, aligning Turkmenistan with international standards for anti-money laundering and counter-terrorism financing.

The law also imposes restrictions on the use of terms such as “Turkmenistan,” “state,” or “national” in the names of crypto projects.

Advertising of digital assets must include risk warnings and may not present cryptocurrency operations as guaranteed or easy income.

The government explicitly disclaims responsibility for any potential loss or devaluation of digital assets, reflecting a pragmatic regulatory approach that encourages investors to make informed decisions.

Experts view the new law as part of Turkmenistan’s broader strategy to develop a digital economy and establish a transparent, controlled legal framework for virtual asset technologies.

This move is consistent with global trends towards the legalisation and regulation of cryptocurrencies and digital financial instruments, while maintaining state oversight to protect both citizens and businesses.

Against this backdrop, in mid-November, the international company group INTEGRA CITY presented its digital solutions for “smart” and sustainable cities at the Turkmentel 2025 international exhibition in Ashgabat.

The event highlights Turkmenistan’s efforts to combine technological innovation with regulatory modernisation, opening new opportunities for investment and the integration of advanced solutions into the country’s economy.

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