A technological revolution is unfolding in Uzbekistan. The government has just legalized blockchain technologies, crypto assets and cryptocurrency mining. Soon, the country will see the introduction of blockchain to public administering system and the legalization of cryptocurrencies and cryptocurrency transactions.
On June 3, the President of Uzbekistan Shavrat Mirziyoyev signed a decree “On the measures for development of digital economy in the Republic of Uzbekistan”. This document specifies that distributed ledger technology, artificial intelligence and supercomputers are among the main priorities in the development of digital economy in many countries.
“These are not only various sectors of the economy where the blockchain technology is being gradually introduced, but also public administration system and other social structures,” – the document reads.
In this regard, the President of Uzbekistan has outlined the most critical areas for the development of digital economy as related to further improvement of the public administration system and accelerating innovations. The latter include cryptocurrency circulation enhancement, as well as the introduction of cryptocurrency mining, smart contracts and blockchain to investment and entrepreneurial activity in the country.
In particular, Uzbekistan puts forward the following priorities:
• Training of skilled personnel in the field of blockchain implementation and development
• Comprehensive development and improvement of cooperation in the field of blockchain technologies and hiring foreign specialists
• The establishment of regulatory framework needed for the implementation of blockchain and based on best foreign practices
• The development of close collaboration in the field of deployment of new technologies between private businesses and the state for the purpose of further enhancement of the country’s digital economy
The presidential decree also sets the National Project Management Agency’s (NPMA) authority to supervise the implementation and development of digital economy. The NPMA will be tasked with determining the fields of blockchain implementation and reviewing projects.
Cryptocurrency circulation will be regulated by specialized normative legal acts. All cryptocurrency transactions will be made tax free, whereas the associated profits will not be included into tax base.
The programme for the development of digital economy in Uzbekistan envisages the implementation of blockchain in the following areas:
• state bodies’ working procedures, public procurement, public services, personal data verification;
• state registers, classificators and other databases operating and maintenance;
• corporate management of the state-owned commercial organizations;
• payment, trade finance and credit clearing.
The implementation of these innovations will commence on January 1, 2021.
Starting from October 1, 2018, the new procedure will be applied to crypto assets circulation and newly opened cryptocurrency trading platforms: both of these types of business activity will be subject to the NPMA licensing.
The NPMA and the Ministry for Development of Information Technologies and Communications of the Republic of Uzbekistan will have to come up with their proposals concerning the provision of conditions for the development of cryptocurrency-related activities within a month period. These institutions are also expected to introduce the draft law “On digital economy and blockchain technologies” to the Parliament before January 1, 2019.
As reported earlier, the president of Uzbekistan had also ordered to open a blockchain competence center in the country.
https://en.bitnovosti.com/2018/07/04/president-of-uzbekistan-signed-a-decree-on-legalizing-cryptocurrencies-blockchain-in-mining/