Which country legalized crypto mining?

TLDR

Turkmenistan legalized cryptocurrency mining and exchanges on Jan 1, 2026 under a new virtual assets law. See the confirmation in a recent market report.

1. The framework requires licenses, treats crypto as property, and bans its use for payments, per the policy update.
2. Other countries have legalized mining earlier, including Russia in 2024 under registration rules, as covered in a regulatory brief.

Deep Dive

1. Turkmenistans Framework

Turkmenistans new law brings mining and exchanges into a licensed regime overseen by the central bank, with crypto classified as property and not legal tender. Using crypto for everyday payments is explicitly prohibited, while licensed entities must meet KYC and AML standards per the policy update.

Officials frame the move as part of economic diversification beyond natural gas and as a way to attract foreign investment, though strict internet controls could limit on?the?ground activity, according to a recent news summary.

2. Precedents Elsewhere

Russia legalized mining in late 2024 but paired it with registration, reporting, and emerging criminal penalties for unregistered miners, illustrating a legal but highly regulated model, per a regulatory brief.

Regional context also shows countries enabling mining while limiting retail use. For example, Kazakhstan became a major hub after Chinas ban, and Turkmenistans update references a similar, regulated path, as noted in a regional policy overview.

Conclusion

The country that just legalized crypto mining is Turkmenistan, with a strict licensing regime and a property-only legal status for crypto assets. This mirrors a broader shift toward regulated mining models seen in countries like Russia, balancing investment goals with tight oversight.