Shavkat Mirziyoyev, President of the Republic of Uzbekistan, has issued another decree to control the country's crypto industry. On April 27, the Uzbekistan president<a href="https://www.today.ng/business/cryptocurrency/uzbekistans-president-issues-decree-adopt-special-crypto-framework-421786"> issued a new decree</a>. This decree altered how the National Agency for Project Management (NAPM) operates.  Previously, the Uzbek government advocated for the legalization of all forms of crypto trading for its citizens.

The National Agency for Prospective Projects (NAPP) of Uzbekistan will take over the NAPM's duties. The agency will then become the country's contact for all things related to crypto regulation. This is done to create a "crypto regulation regime" for the country.

Cryptocurrency policy must be consistent across the state. In addition, the agency in charge must prevent illegal activities such as terrorist funding. In addition, the NAPP will promote projects that use blockchain and other cutting-edge technologies in government and other socio-economic sectors.

The NAPP has the authority to regulate virtual asset providers such as crypto trading and mining firms that use crypto and blockchain technology. According to the decree, virtual asset service providers must pay state fees to obtain a license and be monitored by the agency.

<img class="aligncenter" src="https://kryptomoney.com/wp-content/uploads/2018/02/KryptoMoney.com-Bitcoin-and-Cryptocurrencies-to-be-legalised-in-Uzbekistan.jpg" alt="Crypto Revolution - Adoption of Special Crypto Framework" width="618" height="348" />
<h3>Taxes</h3>
There are mandatory deductions for all types of taxes and state trust funds for those who are part of a special regime. This also applies to customs payments for imports not made in the<a href="https://www.cryptoknowmics.com/news/uzbekistan-approves-solar-powered-cryptocurrency-mining"> Republic of Uzbekistan</a>.

According to the decree, salaries in the "special regime" are taxed at a fixed rate of 7.5 percent. Shavkat Mirziyoyev has been Uzbekistan's president since Islam Karimov's death in 2016. He was re-elected for a second five-year term in October 2021. Mirziyoyev has taken several steps to improve the cryptocurrency industry since he became the president.

In 2018, the government of Mirziyoyev implemented blockchain technology in government projects such as<a href="https://www.cryptoknowmics.com/news/the-health-care-sector-should-adopt-blockchain-technology"> health care</a> and<a href="https://www.cryptoknowmics.com/news/educational-institutions-should-adopt-blockchain"> education</a>. However, Mirziyoyev had already signed legislation prohibiting Uzbek businesses from establishing cryptocurrency exchanges. The law only granted legal status to crypto exchanges founded by legal pioneers outside of the country. According to predictions, by the end of 2022, even Russia will have similar rules in place to regulate cryptocurrency.
<h2>Uzbekistan to Pioneer Crypto in Private and Public Sectors</h2>
The government of Uzbekistan aspires to be at the forefront of the blockchain and cryptocurrency industries. By 2023, it will be mandatory for several government agencies to develop a strategy for using blockchain technology. According to the plan, all government data infrastructure will be built on blockchain technology.

One intriguing idea in the order is to teach people in Uzbekistan's public sector how to develop and use blockchain technology. In addition, they should develop a formal legal framework. This would help define and guide the process of bringing this technology into the market. The announcement that people who work with cryptocurrency and blockchain will not need to pay taxes may be the most significant part of the decree. Uzbekistan is working hard to become a cryptocurrency leader at a time when many countries are opposing it.
<h2>Biden Cryptocurrency Executive Order</h2>
For the Federal Reserve to explore the possibility of creating its digital currency, United States<a href="https://www.whitehouse.gov/briefing-room/statements-releases/2022/04/22/fact-sheet-president-biden-signs-executive-order-to-strengthen-americas-forests-boost-wildfire-resilience-and-combat-global-deforestation/"> President Joe Biden signed an executive order</a> for the regulation of cryptocurrencies. The President signed this order on March 9, 2022.

According to written statements, Treasury Secretary Janet Yellen said the measure "will promote a more efficient, fairer, more inclusive financial system. " Yellen, likewise, stressed that it will help mitigate risks to financial stability. “The advancement of digital assets presents an opportunity to strengthen American supremacy in the global financial system and on the technological frontier. However, it also has major implications for national security, financial stability, consumer protection, and climate risk,” the White House said in a statement.

Likewise, Biden issued instructions to the Treasury Department and other federal agencies through the written communication highlighted with the executive order. They are to evaluate the impact of cryptocurrencies on financial stability and national security.

According to the US government, the market capitalization value of digital assets, including cryptocurrencies, is already over three trillion dollars. In addition, it is estimated that around 40 million citizens, or 16% of the population, have investments in these instruments.

The executive order comes as multiple government officials and members of Congress have expressed concern that Russia is using digital currencies to evade sanctions that the international community has imposed for its invasion of Ukraine. Therefore, the executive order states that Russia will not be able to use cryptocurrencies to compensate for the loss of trade with the United States and Europe.
<h2>Facts to Note about Biden's Executive Order</h2>
President Biden signed an executive order on cryptocurrencies on March 9, 2022. The unprecedented order encourages a "whole-of-government" approach to regulating the sector. They will direct federal agencies to collaborate when developing digital asset policies and rules. The following are the key points to note about this executive order:
<h3>Cryptocurrency is here to stay</h3>
The existence of the Order demonstrates that the government recognizes the importance of cryptocurrency now and in the future. In addition to recognizing the current size and depth of the crypto market, the administration believes that crypto could play an important role in making financial services more accessible in the future.
<h3>Cryptocurrency has the potential to help make the economy more equitable</h3>
The order addresses some of the crypto industry's current global financial system concerns. For a long time, the crypto industry has claimed that the current financial system does not serve everyone well or fairly, particularly historically underserved communities. The order demonstrates that the White House is aware of the complaints and is working to find a solution.
<h2>What's next for the crypto order?</h2>
The order's outcome will be determined by how well it is carried out. Given the order's challenges to the industry, it will be critical for the crypto industry to collaborate closely with governments. And it will not just be in the United States but globally, in the spirit and practice of public-private cooperation, to find ways to regulate cryptocurrencies that are sustainable, inclusive, and useful.

Uzbekistan's Crypto Revolution - Adoption of Special Crypto Framework

According to local media reports, Uzbekistan has become the first country in the world to declare its intention to regulate crypto

Oluwademilade Afolabi is a freelance writer and editor passionate about blockchain technology and the health industry. He is a 6th year medical student, and has worked with various companies and blogs since the blockchain revolution began.

Uzbekistan's Crypto Revolution - Adoption of Special Crypto Framework

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