Uzbekistan partners with Tether (USDT) to establish cryptocurrency regulatory framework

By Crypto Gloom On Mar 8, 2024

Tether Company signed an MOU with the Uzbekistan government to make Uzbekistan a center for cryptocurrency and blockchain hub.

Uzbekistan is a friendly jurisdiction for cryptocurrency traders. Since 2018, cryptocurrency trading and mining are fully legal and tax-free. However, although cryptocurrencies are not recognized as legal tender in the country, people can participate in this innovative market through local cryptocurrency companies registered as Virtual Asset Service Providers (VASPs).

On March 7, 2024, Tether signed a Memorandum of Understanding (MOU) with the National Agency of Perspective Projects (NAPP) of the Republic of Uzbekistan to facilitate the development of a legal framework and drive the adoption of Bitcoin, stablecoins, and blockchain technologies. It was announced that a contract had been signed. , performs P2P and digital asset tokenization domestically.

Through this strategic cooperation, Uzbekistan aims to develop the blockchain ecosystem to the next level and establish itself as a prominent global leader. The plan also aims to strengthen local startups, attract international technology companies and experts, and solidify Uzbekistan’s status as a thriving technology hub.

Especially in the past few years, many countries have shown significant interest in this innovative sector to attract cryptocurrency businesses and investments.
For example, Kazakhstan invited cryptocurrency mining companies in 2021 in response to China’s total ban on cryptocurrency, Hong Kong invited cryptocurrency exchanges to start domestic business in 2023, and El Salvador adopted Bitcoin, It has attracted several cryptocurrency companies over the years. legal tender.

Tether and Challenge

It is worth noting that in 2022, Tether faced enormous criticism and public pressure due to debt pressure related to Chinese companies. Later, Tether started reporting all its financial activities every quarter, and the company is now in a much better position.

In December 2023, Tether generated $1.1 billion in revenue from USDT transaction fees alone.

Tether’s BTC holdings are currently generating $1.1 billion (+85%). Tether currently holds a total of 57,576 BTC ($2.4 billion), with a cost per Bitcoin of $22,480. Of these, 53,492 BTC were held before March of this year, and 4,083 BTC were purchased regularly using 15%.

— Wu Blockchain (@WuBlockchain) December 5, 2023

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