World Watch/Mongolia/Crypto & Digital Assets

Crypto & Digital Assets · Mongolia

Is crypto legal in Mongolia? Regulation & rules (2026)

DevelopingLaw on Virtual Asset Service Providers (adopted December 17, 2021; in force March 1, 2022), enforced by the Financial Regulatory Commission (FRC); supplemented by the Law on Securities Market and Payment System Law overseen by the Bank of MongoliaCountry index 69 · B

Mongolia shaded by its crypto & digital assets status

Mongolia enacted the Law on Virtual Asset Service Providers in December 2021 (effective March 1, 2022), establishing a mandatory registration and licensing regime for crypto exchanges and VASPs under the FRC. Cryptoassets are legal but not legal tender; they are classified as virtual assets subject to AML/KYC requirements aligned with FATF standards. As of mid-2023, 12 entities hold licenses and over 200 virtual assets are registered, with 912,000+ user accounts at licensed providers.

Key points

VASP Law (2021)

The State Ikh Khural adopted the Law on Virtual Asset Service Providers on December 17, 2021; it was published February 14, 2022, and entered into force March 1, 2022. It requires all for-profit Mongolian legal entities providing virtual asset services to register with the FRC and comply with AML/KYC obligations.

FRC Registration & Scale

FRC began registering VASPs from June 25, 2022; pre-existing exchanges had until September 25, 2022 to register. By mid-2023, 12 entities are licensed and over 200 virtual assets are recognized; 912,000+ users are registered, ~85,000 actively trading.

Coin Issuance Rules

Independent coin issuance is forbidden. Coin issuers must apply for registration through a listed, FRC-registered exchange; the FRC registers platforms, not individual coins. DAX, launched December 2020, is Mongolia's first crypto and security token exchange.

FATF Alignment

The Law on VASPs was drafted jointly by the Financial Information Unit, Bank of Mongolia, and FRC to meet FATF technical requirements and improve Mongolia's AML/CFT compliance rating.

Blockchain OTC Market

In December 2025, Mongolia's OTC securities market transitioned to a blockchain-based 24/5 continuous trading model — following 18 months of FRC regulatory sandbox testing — making it the first country to operate such a system.

Tax Treatment

Income from crypto trading is subject to Mongolia's standard income taxes (20% flat personal income tax; 10–25% progressive corporate income tax) but is explicitly exempt from value-added tax (VAT).

Mongolia - other topics

Last verified 5/24/2026 · Orientation, not legal advice - verify against the primary sources linked above. Explore the full world map →