- Turkmenistan legalizes crypto mining and trading from January 1, 2026
- Users will be able to mine, trade, and store cryptocurrencies, but not use them for payments
- The move aligns with Uzbekistan and Kazakhstan’s regulated frameworks
As of January 1, 2026, cryptocurrency mining and trading will become fully legal in Turkmenistan. Earlier this week, local newspaper Neutral Turkmenistan reported that the country’s President, Serdar Berdimuhamedow, signed a new legislation that sets up the framework for issuing, storing, and trading digital assets.
Under the new law, citizens of Turkmenistan will be able to mine, trade, and store cryptocurrencies, but they won’t be able to use them as a means of payment.
In order to mine the tokens, users will first need to register with the country’s Central Bank. Shadow mining, which refers to using someone else’s infrastructure to mine, without their explicit knowledge and consent, is strictly forbidden.
Related: Uzbekistan Ramps up Crypto Adoption, Issuing New Regulatory License
Similar rules apply for cryptocurrency exchanges, which will need to be registered with the country’s central monetary institution. They will also need to adhere to strict Know Your Customer (KYC) and Anti-Money Laundering (AML) laws, and anonymous wallets most likely won’t be allowed.
Central Asia’s crypto push
Advertising will be tightly controlled, too. For example, tokens are not allowed to carry national symbols or have the name “Turkmenistan” as part of their name, image, or branding. The same goes for the word ‘state’ and similar phrases that could be tied back to the country.
The exchanges and other businesses will also need to add disclaimers to the promotional material, to include warnings that the entire loss of funds is possible. Finally, ads are not allowed to portray “easy gains”, luxury, or minors.
It is also worth mentioning that prior to the introduction of this law, crypto mining and trading weren’t illegal or banned, in the full sense of the word. There simply wasn’t a legal framework, meaning the entire industry operated in the grey zone.
With the new legislation, Turkmenistan is joining its Central-Asian neighbors, Uzbekistan and Kazakhstan, who have already set up their legislation in 2022 and 2023.
In both these countries, cryptocurrency mining and trading are regulated, albeit for licensed entities that follow regulatory requirements. The tokens are not recognized as legal tender and can’t be used for payments. Some media are interpreting this move as a “regional push” that suggests a growing interest in digital assets.
Related: Kazakhstan New Law Opens Crypto Mining to Private Sector Ahead of $1B Reserve
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
Source: https://coinedition.com/turkmenistan-legalizes-crypto-mining-but-bans-use-for-payments/
