Azerbaijan's Central Bank Drafts New Law to Regulate Cryptocurrency Market
Azerbaijan's Central Bank has completed drafting a new law on digital assets and submitted it for approval to government agencies. The proposed legislation aims to establish clear rules for exchanges, exchange services, brokers, and other participants in the cryptocurrency market.
The current lack of unified regulations has created a gray area, where citizens' interest in digital assets is growing, but there are no clear guidelines. According to Fidan Tofidi, Director of the Department of Financial Technologies and Innovations of the Central Bank, the draft law will be adopted by the end of this year if the approval process goes smoothly.
Cryptocurrency expert Elnur Guliyev believes that a clear regulatory framework is necessary for serious players to enter the market. He suggests that legalization and the introduction of transaction tracking standards would help reduce money laundering risks and bring the local market closer to international practice.