Uzbekistan allows businesses to use crypto trading funds
Image Source: News Bitcoin

Crypto exchanges must pay monthly fees to operate in Uzbekistan

In the past few months, many new crypto exchanges have started providing their crypto trading and product services in Uzbekistan. Taking this into consideration, the regulators proposed a new law under which the crypto exchanges must pay monthly fees to continue their services there. The charges vary based on their business activities and can reach upto 11,000 dollars per month in the case of digital asset exchange companies. And any company that fails to pay the monthly fees will have its license suspended.

Crypto firms must pay monthly fees in Uzbekistan

As per the reports, the regulators and authorities of Uzbekistan have adopted a new law that obliges all the crypto firms operating there to make a special contribution to the state budget as a monthly fee.

The bill authored by NAPP under Uzbekistan’s President will require the licensed crypto firms to pay monthly fees based on their business activities to contribute to the state budget. As per the reports, different rates or fees will be set for different categories of crypto companies.

Crypto exchanges must pay monthly fees to operate in Uzbekistan
Image Source: News Bitcoin

In a report by Russian crypto news outlet, it was found that a crypto exchange will be charged the highest monthly fees, which will be around 120 million Uzbekistani soum, equivalent to 11,000 USD. In contrast, different crypto stores must pay around 540 dollars. These amounts are not that big and will be affordable for most exchanges.

Consequences of failing to pay monthly fees in Uzbekistan

As you know, Uzbekistan adopted a new law where licensed crypto exchanges must pay monthly fees. This is not limited to only exchanges but is also eligible for individual miners, who have to pay around 270 dollars per month. The mining pool will also require to transfer monthly fees to the government account, which will be little more than 2700 dollars, per the current exchange rates. And the custodial service provider will enjoy the lowest monthly fee, around 135 dollars.

The companies failing to pay the fees within one month will be eligible for the suspension of their license. Also, if the company does not pay the fees for two months within a single year, its license will get canceled. 

What are your thoughts on Uzbekistan’s new law for crypto firms? What do you think should the monthly fees be lowered for the firms or not? Let us know in the comments below. And, if you found our content informative, do share it with your family and friends.

Also Read: Citadel Founder Ken Griffin warned people about an upcoming recession.