Uzbekistan’s National Agency for Future Projects (NAPP) has introduced a new directive aimed at increasing the monthly fees for participants in the nation’s cryptocurrency market. This directive, issued on Tuesday, March 19, 2024, represents an adjustment to a prior directive initiated by the Ministry of Justice back in September 2022.
According to an official statement, the updated fee framework comes in response to NAPP’s assessment of the cryptocurrency retail and trading sectors, which it deems to have achieved "sufficient profitability." Consequently, both cryptocurrency exchanges and retailers will be affected by the new fee structure.
Under the revised fee regime, cryptocurrency exchanges will be required to pay a monthly fee of 740 Base Reference Value (BRV), equivalent to 251.6 million Uzbekistan som ($20,015), a substantial increase from the previous fee of 400 BRV. Similarly, cryptocurrency retailers will face significantly higher fees of 185 BRV per month, up from the previous 20 BRV.
NAPP asserts that these modifications are intended to boost state revenue from the cryptocurrency industry, with expectations that revenue will double once the new fee structure is implemented. However, the agency also ensures that the updated pricing scheme will not compromise the financial stability of industry service providers.
The new fee structure is scheduled to take effect on June 20, three months after its official announcement. This development follows NAPP's recent signing of a memorandum of understanding with stablecoin issuer Tether, wherein Tether will explore blockchain-based innovations in Uzbekistan and collaborate with local regulators to establish a legal framework for crypto-assets.
Furthermore, NAPP's plan to take legal action against Binance underscores Uzbekistan's commitment to enforcing regulations in its cryptocurrency market. The government has restricted the provision of crypto services to licensed companies since 2023, with the first licenses awarded to local cryptocurrency firms in November 2022. Previously, access to several major international cryptocurrency exchanges, including Binance, FTX, and Huobi, was restricted due to alleged unlicensed activities.
