Belarus introduces register for crypto wallets

President Alexander Lukashenko of Belarus has signed a decree to establish a registry for crypto wallets. This decision is part of a desire to better facilitate the circulation of cryptocurrencies.

Belarus regulates crypto wallets

As explained in an official press release, the desire to allow the free circulation of cryptocurrencies remains firm. Indeed, it reads: 

“Belarus is consistently developing the legal field for regulating activities related to digital assets, and, unlike many other states, allows free circulation of digital currencies. At the same time, this requires constant monitoring of the situation and, if necessary, supplementing and clarifying regulatory norms. Including ruling out cases of shadow financing of prohibited activities. To this end, the Head of State signed the Decree ‘On the Register of Addresses (Identifiers) of Virtual Wallets and circulation of Cryptocurrency’ “. 

For this, a register of wallets used in illicit activities will be created. This regulation, they explain from the government, serves to protect the market and healthy investors from risks. 

Cryptocurrencies in Belarus

Belarus is at the forefront of the use of cryptocurrencies. As early as 2018, it had issued very crypto-friendly regulations. Minsk had promoted cryptocurrencies with very favourable and tax-friendly legislation. It was one of the first countries in the world to open up to their use. 

The new wallet registry confirms this trend, as the government says it wants to allow cryptocurrencies to circulate, but also wants to stop illegal activities. 

Crypto mining in Belarus

President Lukashenko recently urged businesses to use surplus energy for cryptocurrency mining It seems that Minsk also sees mining as an opportunity, just like neighbouring Russia.

In fact, Belarus is certainly not a major player in Bitcoin mining, holding only a 0.1% share according to the Cambridge Bitcoin Electricity Consumption Index. 

According to Lukashenko’s detractors, this particularly permissive attitude towards crypto is actually a way to control cryptocurrencies.

It is no secret that opponents of politicians in power often use cryptocurrencies to finance themselves. The government may also want to control transactions involving its opponents. 

The fact remains that there is currently no sign of any restrictions on crypto.