An Entrepreneur Punished for Using Cryptocurrency in Belarus
A sole proprietor involved in international transportation faced penalties after tax authorities detected irregularities in his financial activities, according to News.Az citing Onliner.by.
Discrepancies in Reported Income
The entrepreneur declared low income and had almost no deposits in his bank account, despite frequent business trips abroad—three to four times per month.
Investigation and Findings
During the investigation, multiple transactions involving USDT cryptocurrency were uncovered. These transactions amounted to nearly 300,000 Belarusian rubles.
The entrepreneur claimed he was outside Belarus during the transactions and argued that the cryptocurrency was collateral, not payment, intended to be repaid later.
However, the court rejected these claims as baseless.
Legal Context and Court Ruling
- Cryptocurrency is not recognized as a legal payment method in Belarus under current laws.
- Only crypto platform operators that are residents of the High-Tech Park may legally receive payment in tokens.
- The entrepreneur neither held this status nor used a registered platform but operated via a foreign service.
- His activities were classified as illegal entrepreneurial operations, resembling those of an unlicensed cryptocurrency exchange operator.
The Economic Court convicted him under Part 3 of Article 13 for unauthorized business activities.
Author's Summary
This case highlights the strict regulatory environment in Belarus regarding cryptocurrency, emphasizing legal restrictions on its use outside approved platforms.