Azerbaijan's central bank has completed a draft law regulating the cryptocurrency market and submitted it for government review, marking the first comprehensive legislative framework for virtual assets in the country. The law is expected to be adopted by the end of 2026, according to the central bank's timeline.
Until now, Azerbaijan has operated without dedicated crypto regulation, leaving the virtual asset market in a legal gray zone. The central bank's submission of the completed draft to state authorities signals an acceleration toward formal oversight, positioning the country alongside regional peers establishing clearer digital asset frameworks.
The law's adoption would establish binding rules for cryptocurrency trading, custody, and market conduct—addressing a gap that has allowed largely unregulated crypto activity. The timeline suggests Azerbaijan aims to complete legislative procedures within roughly 24 months, contingent on parliamentary approval and any required amendments during review.