Belarus Gets its Own Blockchain Legislation

Belarus has come up up with governing rules for operating the crypto market and Blockchain operations, according to a document published by the Belarus High Technologies Park (HTP).

The document was termed as the “second stage of cryptocurrency regulation” and has laid down regulations for activities regarding cryptocurrency trading. It also specifies the guidelines for companies looking to offer ICOs and step into the crypto market in Belarus.

The “first stage” of this process was set in motion last year which had general guidelines for the industry. Filed under Decree No. 8 ‘On the Development of the Digital Economy,’ the decree legalized cryptocurrency exchanges,  mining, blockchains, cryptocurrency exchange operators, smart contracts, and tokens. The order was signed by President Alexander Lukashenko in December last year and came into force on March 28.

This has made the crypto trading climate in the country very favorable, allowing the issuing, storage and trade of digital tokens. Companies and individuals willing to have a piece of the cake are now allowed to do so freely, as long as they register themselves as residents of the HTP.

Six reference documents have come out of this second stage of drafting:

  • requirements for applications
  • ICO organizers
  • requirements for internal control rules
  • cryptocurrency exchanges
  • crypto platform operators
  • the HTP Supervisory Board Decision

Belarusian news outlet reported that “the HTP administration, together with the National Bank, the Financial Monitoring Department of the State Control Committee, international experts and other bodies, compiled and signed all the necessary documents.” This marks a significant step forward for the industry in Belarus, establishing a robust framework for how the government and its concerned departments tackle illicit crypto trading and hacking.

Incentives to the crypto business include tax breaks in profit generated from mining, issuing, and placement of digital coins. Similarly, crypto-related incomes of private individuals won’t be taxed either.

The Belarusian High-Technology Park, popularly dubbed “the Silicon Valley of Belarus” has played a significant role in technological advancements in the country. 80% of the total production from companies within the area are exported to North American and European technology markets. The national government has provided significant incentives for companies to set up in HTP by allowing tax cuts and the provision to operate in the campus without physically building in the area.

Belarus has shown interest in staying up to speed in the cryptocurrency industry, alongside its European neighbors and is seemingly making good progress with the passing of this legislation, attracting new businesses from within the country as well as from abroad.