Crypto

Uzbekistan issues first crypto licenses to two local “crypto shops”

As Uzbekistan prepares to adopt a new cryptocurrency framework in 2023, Uzbek regulators have begun issuing regulatory approvals to local crypto service providers.

The National Agency for Prospective Projects (NAPP), the main cryptocurrency market watchdog in Uzbekistan, has issued the country’s first crypto licenses, according to an official announcement published November 17.

The licenses officially authorize the offering of cryptocurrency-related services by two “cryptocurrency stores”, including Crypto Trade NET LLC and Crypto Market LLC.

According to information from NAPP’s Electronic License Registry, Crypto Trade NET and Crypto Market are based in Tashkent. The data also refers to Kamolitdin Nuritdinov as the founder and sole shareholder of Crypto Market. Behzod Achilov is also the sole founder and shareholder of Crypto Trade NET.

None of the platforms appear to have a functioning website at the time of writing.

According to the announcement, the NAPP authorized the two companies on the basis of the presidential decree published in April 2022, which establishes rules for the circulation of crypto assets in Uzbekistan.

“Crypto shops are designed to make it easier for citizens to buy or sell crypto assets,” the statement read, adding:

“The agency urges citizens to be as vigilant as possible and not to use the services of electronic platforms that have not received a license to operate in the territory of the Republic of Uzbekistan in the prescribed manner.”

The news comes shortly after the government of Uzbekistan blocked a number of major global crypto exchanges due to the lack of a proper license to offer crypto trading services.

Related: Russia Intends to Launch a “National Crypto Exchange”

The blockage affected crypto giants like Binance and Huobi, while users could still have accessed their websites using VPN services. After announcing the measures in August 2022, the NAPP has since apparently deleted this declaration.

The latest licenses come as Uzbekistan actively prepares to adopt a new crypto regulatory framework in a few months. From January 1, 2023, the government of Uzbekistan To allow the provision of crypto services to Uzbek citizens only by licensed cryptocurrency companies.