Turkmenistan’s new law regulating crypto mining and exchanges took effect on January 1, 2026, marking a tightly controlled effort to diversify an economy long reliant on gas exports. Signed by President Serdar Berdimuhamedov, it creates a Central Bank–run licensing and registration system, but does not treat crypto as legal tender.
What the Law Allows and What It Restricts
The state is essentially saying: mine and build infrastructure, but under strict oversight. Mining and exchange activity is only allowed after mandatory registration with the Central Bank, alongside strict KYC/AML and custody rules, including cold-storage requirements for exchanges.
Crucially, the law keeps crypto out of everyday payments. Virtual currencies are not recognized as national currency or legal tender, and using them as a means of payment inside Turkmenistan remains prohibited. That limits the sector to investment and infrastructure rather than retail adoption.
The big variable is execution. Everything depends on how clearly the Central Bank defines licensing, how strict enforcement becomes, and whether credible foreign operators are willing to enter under these constraints. The first cohort of licensed miners and exchanges will be the real signal of whether the framework is workable or mainly symbolic.
The upside is energy monetization and potential foreign partnerships; the trade-off is higher compliance cost and a narrow operating perimeter.