Turkmenistan

In Turkmenistan, cryptocurrencies are legally defined as property under the Law of Turkmenistan on Virtual Assets, which became effective on January 1, 2026. The country maintains a regulated crypto environment, meaning a dedicated legal framework is in place. This framework requires licensing for activities such as mining, operating exchanges, and providing custodial services. The Central Bank of Turkmenistan (CBT) oversees this licensing regime. Strict controls are implemented, including a prohibition on anonymous wallets and transactions, and virtual assets are not recognized as payment, currency, or security. Currently, there is no specific tax authority or dedicated legal framework solely governing cryptocurrency taxation. No specific cryptocurrency tax rate has been established for individuals, though general income tax may apply indirectly. Turkmenistan does not have a dedicated capital gains tax on crypto assets, nor is there a distinction between short-term and long-term gains, or any specified exemptions. Similarly, no specific income tax applies to crypto receipts, with general financial laws potentially applicable. Corporate tax rules for crypto activities are not crypto-specific, standard corporate tax rates generally apply. There is also no VAT or GST on crypto trading or services. The tax treatment for converting crypto to fiat currency remains unclear, with general laws potentially applying. Regarding specific crypto activities, no specific tax treatment guidance is provided for staking, DeFi activities, or NFTs. While crypto mining is a licensed activity, its specific tax treatment is not detailed. Trades or swaps between cryptocurrencies are not subject to specific taxes. There are no reduced rates or exemptions for long-term crypto holdings. The Law on Virtual Assets, which came into effect on January 1, 2026, implements the new licensing and regulatory framework for virtual assets. This significant legal development may introduce future tax rules related to cryptocurrencies, signaling potential changes to the current tax landscape.