Bitcoin News and Finance
Bitcoin Will Not Become Legal Tender in Uzbekistan, Central Bank Official Insists Skip to main content

Bitcoin Will Not Become Legal Tender in Uzbekistan, Central Bank Official Insists

Bitcoin Will Not Become Legal Tender in Uzbekistan, Central Bank Insists

Cryptocurrency cannot be adopted as a means of payment in Uzbekistan, a high-ranking official from the country’s central bank has recently stated. Speaking to local media, the regulator’s representative also noted that unlike cryptocurrencies, the national fiat is backed by the bank’s assets. The statement comes in spite of Tashkent’s crypto-friendly moves in the past.

Cryptocurrency Cannot Be Accepted for Payments in Uzbekistan, Monetary Authority Says

Cryptocurrencies such as bitcoin cannot be recognized as legal tender in Uzbekistan and that’s unlikely to ever change, a central bank official told Spot this week. Speaking to the local news outlet, the Deputy Chairman of the Central Bank of the Republic of Uzbekistan (CBU) Behzod Hamraev said:

As an economist, I can assume that it [cryptocurrency] will never be equal to world currencies such as the dollar, euro, yen, ruble.

The representative of the monetary authority pointed out that 28 trillion Uzbekistani sum (the nation’s fiat money) are currently in circulation and they are all backed by the central bank’s assets. “You can even see an inscription of the regulator’s obligations on the banknotes, and cryptocurrency is not backed by anything,” he added.

Bitcoin Will Not Become Legal Tender in Uzbekistan, Central Bank Official Insists

The government of Uzbekistan incorporated a ban on the use of cryptocurrency for payments into its legislation back in 2019. According to current law, the sum remains the only legal tender in the Central Asian country. A decree issued by the National Agency for Project Management, a regulatory body responsible for the oversight of the digital economy, emphasized:

Crypto assets cannot be used on the territory of the Republic of Uzbekistan as a means of payment.

At the same time, the decree also introduced regulations governing the licensing and operation of cryptocurrency exchanges. Crypto trading was legalized in 2018 but in December 2019, authorities effectively banned residents from purchasing cryptocurrencies on the trading platforms while they were allowed to sell their crypto holdings.

Then, in January 2020, Tashkent announced it planned to set up a national mining pool as a priority, establish a licensed cryptocurrency exchange where miners will be permitted to sell their digital coins, create a blockchain valley and introduce crypto tax exemptions. The regulated digital asset platform, Uznex, operated by the South Korean entity Kobea Group, was launched later the same month.

The latest statement from the Central Bank of Uzbekistan regarding the status of cryptocurrencies comes after El Salvador became the first country to adopt bitcoin (BTC) as legal tender alongside the U.S. dollar. It also follows a similar statement by Dmitry Peskov, spokesman of Russian president Vladimir Putin, who recently said Russia isn’t ready to accept the coin as a means of payment.

Do you think Uzbekistan will change its policies towards cryptocurrencies in the future? Share your expectations in the comments section below.

Labels:

Comments

Post a Comment

Popular posts from this blog

Custodial Lightning Network Service Attack Discovered by LN ‘Newbie’ — Hacker Strikes 6 LN Custodians

On September 18, a Redditor posted to the r/bitcoin forum and explained how he discovered a way to “attack [the] lightning Network’s custodial services.” The Reddit account dubbed “Reckless Satoshi” wanted to figure out if a “discrepancy between real routing fees and service’s transaction fee can be exploited for a profit.” The researcher disclosed that he wanted to see how large the damage could be and said “it is bad.” 6 Lightning Network Custodial Services Attacked, Researcher Discloses Findings to Offenders Prior to Public Disclosure A Redditor called Reckless Satoshi published a disclosure post on r/bitcoin this past Saturday and disclosed how he had found a vulnerability with routing fees and some of the Lightning Network’s custodial services. The research attack was done in good faith and after it was complete he disclosed the bugs to the offending services before publishing his findings. Reckless Satoshi used the Lightning Network (LN) attack on six different services incl...
Post a Comment
Read more

Axie Infinity Down 40% Since Last Week’s Price High, Protocol Revenue Outshines Competitors

Last week, the game token leveraged within the Axie Infinity gaming universe skyrocketed to all-time highs, while other crypto markets remained extremely lackluster. During the last seven days, Axie Infinity’s platform token has dropped significantly in value shedding more than 12%. Meanwhile, the game platform’s smooth love potion token has slid over 8% over the last 24 hours. Axie Infinity Down More Than 40% Since All-Time High Not too long ago, the axie infinity (AXS) token was a topical conversation because it reached an all-time high on July 15. At the time, AXS managed to capture $28.93 per unit and since then it has shed 12.8% during the last seven days. The axie infinity (AXS) token is used within the blockchain-based game that involves battles between token-based creatures called “Axies.” AXS is used for the game’s governance system as well as other actions within the game. At the time of writing axie infinity (AXS) is exchanging hands for $16.70 per coin. AXS/USD on Ju...
Post a Comment
Read more

Play-to-Earn Game From Polker (PKR) Exchange Listing – Endorsed by Akon

The Play-to-Earn NFT based Polker.Game ‘s native token $PKR has been officially listed on the popular centralized exchange BitMart. Polker.game has been in the spotlight recently as Akon, the American R&B superstar and record producer gave his official endorsement of polker stating that the “game is revolutionary” and that Polker is “hands down.. the best play to earn, NFT game in the space.”. With the BitMart listing and celebrity endorsement from Akon, Polker is perfectly positioned to become a major player in the Play-to-Earn league. Watch Akon’s Video Here What is Play-to-Earn? Although not a new concept, play-to-earn has become a trending term due to the popularity of the NFT game AXIE infinity. In the past, previous play-to-earn games have also achieved success – however, thanks to the huge amount of development in the blockchain space in recent years the gaming experience is now massively improved. Play-to-Earn games are essentially free to play and open to anyone and...
Post a Comment
Read more

China to Crack Down on Copyright Infringement Through NFTs

Authorities in China are going after creators of digital collectibles based on other people’s works of art, the use of which was not authorized. The government offensive is part of a campaign to combat online copyright infringement and piracy with the participation of several departments. Regulators in China Move to Strengthen Copyright Supervision of Online Platforms The National Copyright Administration of China (NCAC) has recently launched a campaign against copyright infringement and piracy on the internet, together with the Ministry of Industry and Information Technology, the Ministry of Public Security, and the State Internet Information Office of the People’s Republic. A major objective of the initiative is to improve copyright supervision of online businesses by investigating cases involving the sale and distribution of infringing products on short video, live broadcast and e-commerce platforms, and promptly dealing with infringing content, the agency announced in a press r...
Post a Comment
Read more
Blogarama - Blog Directory