Tax Breaks and Energy Flexibility Designed to Attract Global Miners to Karakalpakstan

[bonk]

The “Besqala Mining Valley” in Karakalpakstan is part of a broader push by Uzbekistan to develop special economic zones and attract foreign capital. Unlike earlier restrictions that required miners to rely solely on solar energy, the new framework allows a mix of renewable, hydrogen, and grid electricity, with higher tariffs applied for grid usage.

The policy also aligns with Uzbekistan’s wider strategy of using tax-free zones to stimulate industrial growth in underdeveloped regions. Similar initiatives in Karakalpakstan have already targeted AI and data center investments, offering long-term tax exemptions to large-scale foreign projects.

Authorities expect the mining zone to contribute to broader economic development while bringing regulated crypto activity into the formal financial system, balancing innovation with tighter state oversight.

[kevin1]

mine crypto but make sure the bank approves it first