Best Bitcoin Card for Uzbekistan
Uzbekistan has decided to legalize crypto currencies. Until the summer, “electronic money” is to be regulated. The country in Central Asia hopes to become a hub for distributed ledger technologies. Although the state offers a cheap energy supply, only a few mining companies are located there so far.
Uzbekistan’s Bitcoin Act
A decree, signed by President Shavkat Mirziyoyev, states that the competent authorities should have completed work on the “electronic money” bill by 1 September. According to Vzglyad, the Central Bank, the Ministry of Information Technology and Communications, the Ministry of Finance and the Ministry of Economy were familiar with the processing of the law.
President Mirziyoyev also calls for the opening of a DLT department within the Mirzo Ulugbek Innovation Centre. The aim is to create “conditions that enable the benefits of the blockchain to be exploited”. This new department will also work with developers to better understand the DLT. The center is scheduled to open on June 1.
In addition, contactless payments will be developed and promoted. This will be done by expanding the network for international payment systems. A further set of rules is also expected in June.
A change of heart in Central Asia
The president’s decree is a positive change of course regarding crypto currencies like Bitcoin. Initially, employees of the Uzbek central bank had described digital currencies as an “instrument for financing terrorism”. A little later, however, Prime Minister Abdulla Aripov declared that he supported the use of blockchain technology.
Aripov attended the event “The digital agenda in the era of globalization”. It was a meeting in Almaty, Kazakhstan’s financial capital, attended by representatives of the Commonwealth of Independent States (CIS) and the Eurasian Economic Commission. Other countries in Central Asia have similar plans for the crypto sector. Kyrgyzstan had announced that it would use crypto currencies for public contracts. Kazakhstan wants to create new facilities by supporting digital currencies. The central bank in Astana also made similar comments, saying it had no interest in banning digital coins.
Uzbekistan offers another decisive advantage. In a ranking for the cost of the mining process, it took third place. Mining a Bitcoin there currently costs only 1,790 US dollars.
Uzbekistan is a populous state in Central Asia. Uzbekistan was declared independent in 1991 and its economy recapitalized. In the 1990s there were repeated nationality conflicts in the Fergana Valley in the east of the country and conflicts with Islamic fundamentalists. President Islom Karimov exercises an authoritarian style of government.
Uzbekistan lies in the temperate climate zone. Depending on the region, a continental humid climate, a temperate steppe climate or a temperate desert climate prevail. Summers are usually hot and cloudless, winters are unstable and cold.
The annual precipitation is – depending on the region – only 50-400 mm, but in the mountains it sometimes rises to over 1000 mm annually. The temperatures fluctuate strongly both seasonally and daily.
Uzbekistan means land of the Uzbeks. The name Uzbek is derived from the Mongolian Khan Özbeg, who united a number of Turkic tribes under his rule in the 14th century, from which the Uzbek people emerged.