The National Agency of Perspective Projects (NAPP) Introduces Regulations for Mining Pools in Uzbekistan

Overview

The National Agency of Perspective Projects (NAPP) has recently sanctioned regulations governing the operation of mining pools. Published in the Lex.uz database, the approved document delineates the guidelines and protocols to be adhered to by mining pool operators within the country.

What are Mining Pools?

A mining pool serves as an entity facilitating the consolidation of computational resources for cryptocurrency mining endeavors. Open to both domestic and foreign miners, these pools provide a collaborative platform for optimizing mining efficiency and enhancing profitability.

Operational Guidelines

Creators of mining pools are tasked with maintaining meticulous records of participant activities, including daily backups of transaction data and adherence to regulatory frameworks governing crypto asset business and advertising practices. The document expressly prohibits the purchase, sale, or exchange of crypto assets on the mining pool platform, along with the mining of anonymous cryptocurrencies.

Stringent identification protocols are mandated for miners connecting to the pool. Domestic miners are required to furnish documentation including a copy of their mining permit, Taxpayer Identification Number (TIN), legal entity details, contact information, and the designated crypto wallet address for asset withdrawal. Foreign entity miners must provide registration documents, contact particulars, bank information, and crypto wallet addresses, while individual miners are obligated to submit a copy of their identification.

Regulatory Compliance and Participant Obligations

Mining pools are prohibited from entering into agreements with individual residents of Uzbekistan or persons under 18 years of age. Organizers retain the prerogative to disconnect participants for contractual violations or upon request, with additional measures in place to exclude national miners with expired or invalidated permits. The distribution of mining proceeds is delineated by local pool regulations, with funds exclusively transferred in cryptocurrency. Mining pools are entitled to levy commissions for services rendered, in accordance with the terms of the agreement between the pool operator and participants.

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