Kyrgyzstan’s central bank has completed the drafting of two bills designed to recognize and regulate the country’s emerging crypto sector.
According to an official announcement, the National Bank of the Kyrgyz Republic has opened up the two bills, “On the Processing of Cryptocurrencies” and “On amendments to legislative acts in the field of virtual assets,” to public discussion.
Interested parties have until Feb. 21 to submit their comments and concerns regarding the legislation.
The proposed legislation seeks to recognize cryptocurrency exchanges, outlining that exchanges must be operated by legal entities licensed with the country’s central bank. The bill contains reporting requirements aimed at reducing money laundering and terrorist financing risks.
There are also protections for consumer rights, and provisions for enforcement action against fraudsters operating with virtual currencies.
A separate bill introduces the concept of “virtual assets” into the Kyrgyz Republic’s civil code, identifying crypto assets as an object of civil rights. The bill also mandates the taxation of services provided by