YEREVAN, October 1. /ARКА/. The circulation of cash in crypto assets is likely to pose a serious threat to the overall fiscal system, stated Armenian Deputy Prime Minister Mher Grigoryan.
“Armenia does not oppose the encouragement and advancement of digital assets. Digital assets represent the future, and eventually, currency will transform into a digital asset. However, the challenge lies in the degree to which the owner of the asset can be identified,” he remarked during the government hour in parliament on Wednesday.
Previously, the Armenian parliament enacted a law prohibiting, among other things, the cash trading of crypto assets within the country starting January 1. Grigoryan noted that the government and the Central Bank do not bear responsibility for the regulation of digital assets.
“We aim for the Civil Code to fully acknowledge cryptocurrency as a legitimate asset in circulation within Armenia. However, it is crucial to ascertain who possesses a particular asset, and given the difficulty in tracking the movement of crypto assets, these concerns arise,” he explained.
The Deputy Prime Minister clarified that when a transaction is conducted cashlessly, it is recorded in the fiscal records at least at the payment stage, making it somewhat traceable. Conversely, when transactions are conducted in cash, it becomes impossible to identify the seller, buyer, or the flow of funds.
Simultaneously, Grigoryan assured that all necessary measures will be taken to ensure that the regulations implemented do not impede mining activities in any manner. “This is not negotiable; we wish for mining to persist, particularly in situations of surplus electricity: mining serves as an excellent tool for balancing electricity consumption,” he stated.
The Deputy Prime Minister also remarked that cash transactions have not been prohibited at this moment, although they are discouraged. “Indeed, considering the current turnover, this presents a challenge. This matter will continue to be a priority for both the government and parliament, as I do not believe we will reach a consensus regarding the ownership of property that remains in an obscure offshore zone,” he stated.
About the Law “On Cryptoassets”
The Law “On Cryptoassets” came into effect in Armenia on July 4, 2025. This legislation sets forth guidelines for the trading of cryptoassets, the provision of services, and the oversight of the market. The regulatory frameworks established permit only verified and transparent companies to participate in the market, which is intended to safeguard the rights of cryptoasset purchasers and enhance confidence in the market.
Andranik Togramajyan, the Head of the Digital Finance Division at Cilicia Business Club, previously voiced his concerns in an interview with the ARKA news agency, indicating that the current regulations are excessively stringent, and many international entities may reconsider their decision to enter the Armenian market.-0-
