Turkmenistan legalises crypto mining under strict state control

Turkmenistan legalised crypto mining and exchanges from Jan. 1, 2026, marking a rare economic policy shift by the tightly controlled state.

The law was signed by President Serdar Berdimuhamedow and brings virtual assets under the country’s civil code.

A licensing framework has been introduced, placing crypto-related activity under central bank oversight.

Authorities stressed that cryptocurrencies will not be permitted for domestic payments.

Internet restrictions and capital controls remain firmly in place despite the legal change.

The move opens a limited pathway for crypto activity in one of the world’s most closed economies.

Officials framed the policy as economic modernisation rather than broad financial liberalisation.

Crypto mining is seen as a way to monetise excess energy capacity from Turkmenistan’s natural gas sector.

China remains the country’s primary gas buyer, increasing the incentive to diversify revenue streams.

The policy shift comes as Russia tightens oversight of mining while formalising it as a taxed industry.

Turkmenistan maintains official neutrality but aligns with a wider Eurasian trend of expanding mining capacity.

The United States continues to dominate large-scale industrial mining globally.

Analysts say strict licensing and censorship will likely slow adoption and limit foreign participation.

Mining activity is expected to develop cautiously under close state supervision.