The news has just fallen: Georgia will soon be updating regulations related to cryptocurrency. The Georgian legislature wants to expand the regulatory framework for the entirety of businesses dealing with crypto assets.
The foundations of the new cryptocurrency legislation
Cryptocurrency regulatory update aims to align with EU directives. These relate to:
- payment services (PSD2)
- virtual asset service providers (VASPs)
- capital requirements (CRD)
The President of the Central Bank of Georgia, Koba Gvenetadze, publicly announced in April 2022 the preparation of a legislative framework focusing on the digital asset industry. Barely a month later, Papuna Lezhava announces the release of the final version of this updated crypto legislation. This new legislation will be adopted in the coming months, more precisely in autumn 2022.
This New Legislation Aims to Make Georgia a Crypto Hub
In the eyes of the Georgian government, this new legislation represents a first step towards another level. Indeed, all entities operating in the virtual asset trade will be granted this new legal status. In this sense, their obligations and rights will be highlighted through this new legislation. Thus, the Georgian authorities will put in place long-lasting regulations for the crypto industry.
Remember, making Georgia a crypto center was a project that the authorities wanted to achieve between 2020 and 2025. Approved by the executive power in 2020, Georgia is surely moving towards this desire to make its mark in cryptography.
This new cryptocurrency legislation represents a development strategy for Georgia. In the coming years, major players in the global crypto industry will establish their presence in this country.
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