Starting January 1, 2026, another Central Asian country officially embraces the crypto industry. The President of Turkmenistan signed the cryptocurrency regulation bill at the end of November 2025, which takes effect today. This means the country has fully opened up crypto mining and trading activities, becoming a new participant in global crypto compliance.

What exactly does this bill stipulate? Let’s look at the key points:

**Mining with Zero Barriers** — Domestic mining and mining pool operations are not only permitted but non-residents can also register to participate in local mining without identity restrictions. This means miners worldwide have the opportunity to get involved.

**Exchanges Must Be Licensed** — Want to operate an exchange? You must obtain official approval, establish comprehensive KYC (Know Your Customer) and AML (Anti-Money Laundering) systems, and meet cold storage requirements. Protecting user assets is a hard requirement.

**Clear Definition of Crypto Assets** — The bill explicitly states that crypto assets are neither legal tender nor securities; they are simply assets themselves, with regulations focusing on their creation, storage, issuance, use, and circulation. This clear legal positioning is actually very important, as it avoids many gray areas.

Why is Turkmenistan doing this? The background is quite clear — the country has the world’s fourth-largest natural gas reserves and has long relied on natural gas exports for its economy. Now, it needs diversification, to attract foreign investment, and to promote digital transformation. The crypto industry has been seen as a breakthrough.

Interestingly, neighboring Kyrgyzstan has already taken the lead by collaborating with crypto giants to launch a legal stablecoin, aiming for regional advantage. Turkmenistan’s move could trigger a competition in the Central Asian crypto industry, which may not necessarily be a bad thing for the overall regional development.

For global crypto practitioners, this adds a new possibility.