Turkmenistan has enacted the Law on Virtual Assets, which legalizes crypto mining and exchange operations and establishes a legal framework for their use in the country. Signed by President Serdar Berdimuhamedov on November 28, the law aims to stimulate economic development and attract foreign investment.
New Virtual Assets Law in Turkmenistan
The law sets rules for the creation, use, and exchange of virtual assets in Turkmenistan, while imposing restrictions on certain activities. The text emphasizes the goal of supporting the economy and providing a clear legal regime for investors, explicitly prohibiting the use of cryptocurrencies as legal tender.
OIC Study and Expert Opinions
A 2025 study of member countries of the Organization of Islamic Cooperation (OIC), including Turkmenistan, concluded that permitting cryptocurrency could benefit the economy. Supporting this, economist Muhammad Reza Ramadan noted: "The legalization of cryptocurrency has significantly accelerated economic growth in developing countries by increasing financial accessibility and providing the legal clarity necessary to attract digital foreign direct investment."
Classification of Virtual Assets
The law defines virtual assets as property rather than legal tender or securities. Assets are divided into two categories: backed assets, supported by an underlying asset, and unbacked assets, such as Bitcoin.
Mining Regulations in Turkmenistan
Mining is allowed for both companies and individuals, provided miners register with the Central Bank of Turkmenistan. The law also introduces technical standards for mining operations and explicitly bans hidden mining methods like cryptojacking, imposing stricter transparency and security requirements.
For details on registration and practical changes, see the materials on rules and registration, which provide explanations of procedures in practice.
Licensing of Cryptocurrency Exchanges
The law permits cryptocurrency exchanges and custodial services to operate only with a license from the Central Bank. Both domestic and foreign companies may own such services, except for organizations based in or connected to offshore jurisdictions.
Exchanges must comply with "know your customer" (KYC) and anti-money laundering (AML) regulations; anonymous transactions and wallets are prohibited by law.
Why This Matters
If you mine or plan to operate on platforms in Turkmenistan, key considerations include miner registration and adherence to technical standards established by law. New exchange requirements mean stricter client verification and a ban on anonymous operations, affecting the accessibility of some services.
For miners living in Russia operating a small or medium number of devices, direct impact will only be noticeable if they have operations or equipment in Turkmenistan or use Turkmen exchanges and services. Nonetheless, the ban on hidden mining methods and increased transparency requirements raise the overall regulatory level in the region.
What to Do?
- If you operate in Turkmenistan: register your mining activities with the Central Bank of Turkmenistan and ensure your equipment complies with the technical standards specified in the law.
- Check counterparties and exchanges: use only licensed platforms and be prepared to undergo KYC/AML procedures, as anonymous transactions are prohibited.
- Protect your equipment and network: the ban on hidden mining methods means preventing unauthorized access to your devices and monitoring for suspicious activity.
- Stay updated on regulations and clarifications from the regulator: if planning to expand, verify requirements with the Central Bank of Turkmenistan and prepare documentation in advance.
If you want to compare these norms with other materials, a useful collection includes texts on local changes — for example, the overview of the mining law and the review of recent steps toward mining legalization.