The Armenian government has approved a bill introducing uniform rules for the circulation of cryptocurrencies; previously, regulation was limited only to requirements for exchange services.
According to the Chairman of the Central Bank of Armenia Martin Galstyan, the new set of rules will not concern the technical side of digital assets, but will focus exclusively on their financial component.
According to the rules, all companies involved in the issuance and trading of cryptocurrencies will have to disclose information about their owners and comply with established minimum capital requirements.
In addition, the procedures for issuing cryptocurrencies (ICO) will be made more complicated, which should reduce risks. Previously, the lack of regulation allowed the same individuals to issue and trade tokens, creating the possibility of manipulating coin prices.
Additionally, a so-called “financial hygiene” mechanism is being introduced, monitoring the founders of cryptocurrency companies and sources of capital to reduce the risks of money laundering.
As Prime Minister Nikol Pashinyan stated, the situation with the lack of regulation has dragged on for too long, and market participants should have taken the initiative themselves in this matter, rather than wait for the authorities to resolve it.
In turn, Deputy Prime Minister Tigran Khachatryan noted that with such rules, Armenian banks that are interested in the digital economy sector will be able to officially offer cryptocurrency services.