Uzbekistan Launches State-Backed "Besqala Mining Valley", Grants Tax Breaks for Crypto Miners Until 2035

Uzbekistan has created a state-supported cryptocurrency mining zone, "Besqala Mining Valley," in Karakalpakstan, Cointelegraph reported. The initiative was established under a presidential decree signed on April 17 and took effect on April 20. Licensed mining companies operating in the zone may sell the digital assets they produce on domestic crypto exchanges, on overseas platforms, or via direct contractual transactions. All proceeds must be credited to bank accounts held within Uzbekistan. Resident enterprises will receive tax exemptions through January 1, 2035. In return, miners must pay a monthly fee equal to 1% of mining income to the zone's management authority. The rules also allow mining powered by renewable energy, hydrogen, and electricity from the grid.