A decree that was signed by the President of Belarus, Alexander Lukashenko will go into effect on March 28. Entitled “On the development of the digital economy,” the decree legalizes cryptocurrencies, initial coin offerings, and smart contracts.
“The decree entitles legal entities and individual entrepreneurs who are residents of the High Technology Park (the HTP) to perform operations with tokens (including cryptocurrency),” explained Iryna Chelyshava, an associate attorney at the Belarusian law firm of Vlasova Mikhel & Partners. “Others can use tokens in the territory of Belarus through residents of the HTP,” she elaborated on Jurist.
The HTP (High Technology Park)
The HTP (High Technology Park) is a special economic zone with a special tax and legal regime in Belarus, analogous to Silicon Valley in the US. According to its official website, 192 software companies spread over 67 countries are residents of this park. And 35% of the enterprises with foreign investments.
The decree explains the definitions of tokens, cryptocurrencies, and smart contracts. The decree does not specify the nature of the certain civil right, and therefore the concept of ‘token’ is provided with a high degree of flexibility. Cryptocurrency activities are not restricted by the decree and will be tax exempt until 2023. So by passing this decree, Belarus has become the first country in the world to legalize smart contracts. In conclusion, this is a great step in cryptocurrency market.