Uzbekistan launches special crypto mining zone with 10-year tax holiday
Uzbekistan has established the "Besqala Mining Valley" in Karakalpakstan, offering a tax exemption for crypto miners until 2035 to boost investment and renewable energy.Summary
Uzbekistan has launched a specialized crypto mining zone called "Besqala Mining Valley" in the autonomous republic of Karakalpakstan. Under a decree by President Shavkat Mirziyoyev, registered mining entities in this zone will benefit from a tax holiday until 2035. The initiative aims to drive investment, job creation, and the integration of renewable energy sources into mining operations.
While the zone offers significant tax relief, residents must adhere to strict anti-money laundering regulations and pay 1% of their monthly mining income to the local budget. Operators are permitted to sell mined cryptocurrencies on exchanges, provided the proceeds are transferred to banks within Uzbekistan. This move marks a liberalization of the country's previous regulations, which had restricted mining solely to solar-powered operations.
(Source：The Block)