Armenia and Cryptocurrency

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Armenia and Cryptocurrency

Armenia Cryptocurrency Laws

Regulation of Digital Currencies: Cryptocurrency, Bitcoins, Blockchain Technology

Armenia has not yet adopted a cryptocurrency-specific regulatory regime, and the status of cryptocurrency remains in a degree of controversy.

Development of Digital Technologies

In 2018, the Yelc bloc proposed legislation to legalize the mining of cryptocurrency. The proposal — under a draft law on “Development of Digital Technologies” — sought to decrease governmental oversight of cryptocurrency and would have exempted mining activities from taxation until the end of 2023. The introduction of the bill prompted the government of Armenia to publish a response, taking the position that the adoption of the proposed law on cryptocurrencies was not advisable.[1]

P.S. Insights on Cryptocurrency Legal Issues

Most jurisdictions and authorities have yet to enact laws governing cryptocurrencies, meaning that, for most countries, the legality of crypto mining remains unclear.

Under the Financial Crimes Enforcement Network (FinCEN), crypto miners are considered money transmitters, so they may be subject to the laws that govern that activity. In Israel, for instance, crypto mining is treated as a business and is subject to corporate income tax. In India and elsewhere, regulatory uncertainty persists, although Canada and the United States are relatively friendly to crypto mining.

However, apart from jurisdictions that have specifically banned cryptocurrency-related activities, very few countries prohibit crypto mining.

Our Freeman Law Cryptocurrency Law Resource page provides a summary of the legal status of cryptocurrency for each country across the globe with statutory or regulatory provisions governing cryptocurrency. The globe below provides links to country-by-country summaries:

Cryptocurrency and Blockchain Technical Resources:

Blockchain, Cryptocurrency, and Digital Asset Law

[1] Government of Armenia, Recommendations on the Draft Law on Development of Digital Technologies (Mar. 1, 2018), http://parliament.am/draft_history.php?id=9504&Suggestion=687&do=showSuggestion (in Armenian), archived athttps://perma.cc/4AX3-DMWC; see also The Armenian Government Rejected the Bill on the Development of Digital Technologies, Golos Armenii (Mar. 1, 2018), http://golosarmenii.am/article/ 63337/pravitelstvo-armenii-otverglo-zakonoproekt-%C2%ABo-razvitii-cifrovyx-texnologij%C2%BB (in Russian), archived at https://perma.cc/R9AP-2RMC.