Uzbekistan has officially banned its citizens from purchasing digital currencies. The ban came as part of new regulatory rules introduced recently, which sees the country taking a more observant than a participatory regulatory position with crypto.
According to reports, citizens will not be allowed to purchase digital assets even from licensed crypto exchange platforms in the country. However, before the ban goes into full effect, citizens will be allowed some time to sell off whatever assets they currently hold. Sellers, however, have to be verified and must be adult citizens – 18 years or older. Furthermore, sellers must not be tired to any criminal activity, and will only be able to sell on two exchange platforms – Sputnik and Forklog.
The news came as a bit of a shock to most people because last year, Uzbekistan signed a memorandum of understanding (MoU) with the Korean Blockchain Business Association (KOBEA), to establish an accredited exchange platform. Not long after that, Uzbekistan President Shavkat Mirziyoyev also formed a government blockchain development fund called the Digital Trust and drafted new regulation.
In addition, there were several rumors that the government was considering creating its own trading service, a training platform for blockchain technology, and also the possibility of allowing relevant companies to hold initial coin offerings (ICO).
Currently, it is unclear when exactly the ban will go into full effect.
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