In Karakalpakstan, a special mining zone called Besqala Mining Valley is being established. Residents of this zone will receive special conditions — the use of renewable energy sources, as well as exemption from taxes and fees until January 1, 2035, Podrobno.uz reports referring to the decree of the President of Uzbekistan.
According to the document, the entire territory of Karakalpakstan is declared a special mining zone. Within its framework, the use of a unified power system, including renewable energy sources and hydrogen power plants, is permitted for cryptocurrency mining.
The obtained crypto assets can be sold through national crypto exchanges, foreign platforms, or exchanged for other liquid assets. Besqala Mining Valley will have a directorate to manage the zone. The National Agency for Advanced Projects is appointed as the working body responsible for issuing permits for mining activities.
Legal entities wishing to become residents must submit an application to the directorate to obtain the appropriate status and permission for mining.
One of the main support measures will be a tax benefit: until January 1, 2035, residents’ income from mining activities will be exempt from all taxes and fees.
Uzbek citizens are allowed to conduct operations with crypto assets under strict compliance with the rules: they can only work through licensed providers, and trading on P2P platforms is considered a violation of the law.
