YEREVAN, August 28. /ARKA/. Participants at the Armenian Cryptocurrency Assets Forum, recently held in Yerevan, engaged in discussions regarding the future of cryptocurrencies in Armenia. The meeting, organized by the Cilicia Business Club, brought together representatives from the crypto sector, banking institutions, and the business community to address the challenges posed by new legislation and explore the industry’s development prospects. The ARKA Agency served as the information partner for the Armenian Cryptocurrency Assets Forum.
Nver Sargsyan, president of the Cilicia Business Club, noted that the meeting aimed to discuss the evolution of the crypto sector following the enactment of the law titled “On Crypto Assets.” The forum’s objective is to establish a dialogue platform among the government, business entities, and the financial sector.
“Currently, government representatives are not involved in such discussions, but I am confident that the time will come when they will participate in the dialogue,” Sargsyan stated.
A decade in the “gray zone”
The forum participants reflected on Armenia’s ten-year journey within the crypto sector. Artem Harutyunyan, co-founder of WEB3 Armenia, remarked that the industry had remained in a state of legal uncertainty for an extended period due to the absence of regulation.
“The Central Bank issued a stringent circular, advising banks to avoid these technologies and refrain from opening accounts for IT developers,” the expert recalled. He noted that banks also obstructed the sector’s growth in various ways.
Despite facing resistance, the Armenian crypto community managed to thrive independently. “We established numerous communities where individuals supported one another. Consequently, we surpassed our neighbors: while the state in Georgia provided assistance and events in Azerbaijan received official funding, we achieved greater success on our own,” Harutyunyan emphasized.
The expert believes that the current regulations imposed by the Central Bank are designed to suppress the crypto sector. “And we will resist it,” he added.
Armenian crypto ecosystem: the success of self-regulation
IT blogger Artak Sahakyan remarked on the significant level of self-regulation within the Armenian WEB3 sector. “We have communities that have established user groups aimed at educating and promoting crypto culture. From this perspective, our domain has been firmly established,” he stated.
In recent months, there has been a notable surge in interest from international crypto exchanges towards the Armenian market. “They observe intriguing trends and highly skilled professionals in Armenia. We have several companies that hold a considerable position on a global scale,” the blogger pointed out.
Co-founder and CEO of Layerswap, Aram Kocharyan, emphasized two primary sectors of the Armenian cryptosphere: cryptocurrency transactions and technology. “Cryptocurrencies represent an innovative technology capable of transforming the entire financial system. For smaller nations with a substantial number of programmers, engineers, and cryptographers, this presents a significant advantage,” he remarked.
The expert encouraged immediate investment in developing solutions for crypto-related challenges. “As cryptocurrencies evolve into a global financial system, Armenia will be equipped with ready-made solutions for the entire world. This represents the primary direction for the country, which, regrettably, does not receive the attention it deserves,” Kocharyan asserted.
Fraud represents the primary threat
Experts indicate that fraud is among the most significant issues. “There are organizations in Armenia that establish financial pyramids disguised as appealing crypto programs,” Kocharyan cautioned. He stressed the importance of acquiring new knowledge to safeguard clients against fraud.
Banks and crypto: transitioning from opposition to collaboration.
The meeting’s moderator, Andranik Togramadzhyan, head of digital finance at Cilicia, posed the question: is the country’s crypto community at a pivotal moment, and what direction will its development take?
Unibank’s representative, Vakhtang Abrahamyan, stated that there are no formal barriers preventing citizens from engaging in the cryptosphere, provided the process is well-organized. The key is to educate individuals on adhering to the rules.
“If you arrive at the exchange with five bitcoins, you must be prepared to clarify their source. This is where conflicts emerge with the liberal-minded community, which views cryptocurrencies as a counterbalance to the traditional financial system. We believe that a beneficial synergistic effect is achievable,” Abrahamyan elaborated.
SkyLabs representative Levon Arakelyan acknowledged the differences in operational mechanisms between the crypto and financial communities but expressed optimism regarding the forthcoming integration of cryptocurrencies with the traditional financial sector. Togramadzhyan highlighted the conservative nature of the Armenian financial industry: “At times, it appears that the financial sector is compelled to engage with cryptocurrencies due to user demand. This area is currently gaining traction.”
Increasing interest in diversification
David Gasparyan, Chief Client Relationship Manager at Wilco Wealth Management, observed that there is a growing awareness among individuals regarding the necessity of diversifying their investment portfolios. “Upon recognizing this, individuals have reacted promptly. Currently, there is significant interest in the effective management of surplus funds in cryptocurrencies,” he stated.
Gasparyan is virtually certain that cryptocurrencies will evolve into an essential tool for everyone within the next decade.
David Davtyan, Director of Incore Development, highlighted the impact of regional events on the configuration of financial institutions. “Being situated in Yerevan, we have the advantage of collaborating with international financial entities. We are increasingly witnessing a demand for engagement with digital assets – numerous corporate and private clients are utilizing cryptocurrencies as a method of payment,” he remarked.
Licensing and Future Prospects
Vachik Gevorgyan, CEO of Apricot Capital, mentioned that once the by-laws are finalized by the year’s end, investment firms will be able to submit applications to the Central Bank for licenses to offer cryptocurrency services.
Vigen Barseghyan, advisor to the head of Artsakhbank, recognized the strictness of the new legislation, particularly concerning bank licensing. Under the current law, banks are prohibited from directly offering cryptocurrency services; therefore, holding groups must establish new companies and secure separate licenses. “Banks, as traditional entities within the financial system, cannot afford to remain uninvolved. The community’s apprehensions regarding the excessive strictness of the legislation will diminish over time. The initial phase is always challenging, and issues will be addressed as we progress,” Barseghyan conveyed his optimism.
The banking sector is poised for transformation
Vakhtang Abrahamyan does not view stringent legislation as a hindrance. “While the law complicates processes, information security also adds complexity to life, yet it is essential. When there is a specific interest, the possibilities for collaborative projects are boundless,” he remarked.
Ani Ambartsumyan, a representative of the Union of Banks of Armenia, clarified the stance of the banking sector: “Banks function within the confines of rigorous local and international regulations. Any deviation could lead to severe repercussions. The Central Bank has attempted to regulate a perpetually evolving sector, and banks will adapt to this over time.”
She noted that new products and avenues for collaboration are already emerging within the banking community. She highlighted the importance of training bank employees in both international and local practices regarding cryptocurrencies.
Zaruhi Ghazaryan, a compliance specialist at Converse Bank, underscored the banks’ readiness to evolve: “The assertion that banks wish to impose barriers is inaccurate. We are eager and committed to progressing appropriately within the regulatory framework.”
The Law “On Cryptoassets”
The Law “On Cryptoassets” came into effect in Armenia on July 4, 2025. This legislation sets forth guidelines for trading cryptoassets, delivering services, and supervising the market. The proposed regulatory frameworks permit only verified and transparent companies to enter the market, which aims to safeguard the rights of cryptoasset purchasers and enhance trust in the market.-0-
