Armenia plans to ban cash purchases of cryptocurrency from 2026

Armenian authorities have confirmed plans to ban the country’s cryptocurrency purchases starting next year.

Yerevan’s executive representatives indicated that they intended to prevent anonymous transactions rather than curbing crypto sales.

Yerevan confirms future ban on cash crypto trade

The Armenian government remains determined to impose a ban on the exchange of Fiat cash with cryptocurrencies, which is expected to come into effect in 2026.

Deputy Prime Minister Grigalyan confirmed the official stance of the Cabinet during the parliamentary rule of the Parliament, the Armenian parliamentary assembly.

Grigorian was answering questions by Ahman Yogayan, a member of the faction of the Congress’ Civil Contract Party.

The lawmaker said several companies in the crypto sector have been asked to begin discussions on the restrictions adopted.

Companies complained that these would complicate entrepreneurial activities in the industry, Sputnik Armenia reported Wednesday. The online news outlet quotes Yeghoyan as stating.

“I’m not talking about my interests. For example, there’s no Bitcoin.”

“No one can know if you have them or not, or if I have them,” Grigoryan retorted.

He emphasized that the government does not want to limit the circulation of digital currency in the country’s economy, but noted that the point is to identify owners.

Without proper identification, there is a risk of tax evasion, and the Deputy Prime Minister explained in detail, adding that it is impossible to track the movement of anonymous crypto assets.

The owner of the digital currency should be known to tax authorities, Grigorian added, saying various branches of the government have already agreed to it.

Armenia remains a code-friendly destination

The Armenian Parliament adopted the “crypto assets” law at the end of May this year, in a move to demonstrate the willingness of the Caucasian state to regulate digital currencies such as Bitcoin.

In accordance with the new law, entities that issue or trade cryptocurrencies and tokens are obligated to disclose their owners to the Central Bank of Armenia (CBA) and meet the minimum capital requirements.

After Prime Minister Nicole Pashinyan’s Cabinet said he wanted to introduce “financial hygiene” into the sector in terms of ownership and capital sources, as previously reported by Cryptopolitan.

The government also wanted to enable traditional financial institutions to provide crypto-related services. This highlights the interest in the Armenian banks in question in the business.

In April, CBA lieutenant Governor Amen Nurbekan explained that the ultimate goal was to create unified rules for crypto assets and operations. With the new law, Yerevan authorities also aim to ensure that investors and consumer rights are protected.

Previous regulations were limited to setting standards only for crypto exchange offices, he said, cited by News.am Agency. The latest provisions cover a wider range of entities dealing with cryptography, central bank executives stressed.

Last month, his boss at CBA Martin Galstyan warned that cryptocurrency is based on new technology and takes inherent risks. In it, he listed the possibility of concealing financial flows for illegal purposes.

However, in a meeting with members of the Armenian parliament, the governor emphasized the need for a practical regulatory approach. The head of the monetary authority urged commercial banks to learn to “rationally manage these types of risks.”