As of January 1, 2026, Turkmenistan has officially enacted its new crypto mining law, marking a significant step in the nation’s approach to digital finance. Having received parliamentary approval in November and subsequently signed into law by President Serdar Berdimuhamedow in late 2025, this legislation ushers in an era of official oversight for virtual asset operations across the country.
Under the newly established Law on Virtual Assets, all crypto mining, trading, and exchange activities will now require licensing through the central bank. This framework categorizes virtual assets under civil law, yet it conspicuously prohibits their use for direct payments, reflecting Turkmenistan’s cautious yet controlled movement into the crypto space.
Turkmenistan legalizes crypto under new Virtual Assets law
Turkmenistan has passed a new Law on Virtual Assets, effective January 1, 2026, legalizing cryptocurrency mining and trading for the first time. The law was signed by President Serdar Berdimuhamedov on November 28, 2025,… pic.twitter.com/NNrZKi3e9T
— Crypto Miners (@CryptoMiners_Co) January 1, 2026
Officials assert that the regulations aim to “modernize the economy,” advocating for a structured entry into the digital asset sector without diving headfirst into a complete financial liberalization. However, the ongoing prohibitions on cryptocurrency transactions illustrate the country’s traditional stance on economic policies.
Infrastructure and Government Control Remain Key Issues
Despite the new legal provisions, considerable concerns linger regarding Turkmenistan’s infrastructure, particularly its limited internet accessibility. This poses questions about the viability and scalability of effective crypto mining operations within a state-controlled digital environment. Analysts worry that restrictive internet access and surveillance measures could hinder the nation’s capacity to develop a robust crypto sector.
The government has yet to announce any reforms to enhance internet infrastructure that could facilitate broader crypto activities, leaving public skepticism about the sector’s growth prospects. While crypto exchanges are now allowed, they must operate under stringent regulations and comply rigorously with licensing requirements to prevent regulatory breaches.
Leveraging Resources with Regional Trends in Mind
Turkmenistan’s economy heavily relies on natural gas exports, particularly to China, making crypto mining an attractive option to capitalize on excess energy production. This strategy not only diversifies income potential but also helps mitigate reliance on traditional hydrocarbon exports.
The new regulations reflect regional trends, with neighboring countries like Russia formalizing their approaches to crypto mining. While Russia has imposed taxes on mining activities and restricted it in energy-limited regions, Turkmenistan’s regulations take a more measured approach, emphasizing state oversight without compromising the existing political framework.
Restricted use of cryptocurrencies for payments and continued close supervision of exchanges highlight the government’s intention to benefit from digital asset growth while maintaining stringent controls. As the effects of this new law unfold under the watchful eye of the central bank, the full impact on Turkmenistan’s digital economy remains to be seen.
The new crypto mining law marks a cautious yet notable advancement in Turkmenistan’s economic landscape, paving the way for regulated participation in the global cryptocurrency arena.
