Hamster Kombat Not Illegal in Uzbekistan

The Hamster Kombat game has not been prohibited by the Uzbekistani authorities, but they warned against possible risks of withdrawing its tokens in the future.

Although regulators have not prohibited citizens in Uzbekistan from playing the Hamster Kombat clicker game on Telegram, withdrawing in-game coins could pose an issue.

On June 25, the National Agency for Perspective Projects (NAPP), a significant regulator in Uzbekistan that regulates the cryptocurrency industry and e-commerce, released an announcement that clarified the legal status of the Hamster Kombat game.

Hamster Kombat coins are not cryptocurrencies, at least for now

The NAPP underscored in the statement that Hamster Kombat is not a conventional play-to-earn game, as its in-game coins lack actual utility and collateral.

Conversely, in play-to-earn games, participants are compensated with assets that have tangible monetary value and can be traded, such as non-fungible tokens (NFT) or cryptocurrencies.

In a game such as Axie Infinity, players can collect Axies, which are collectible creatures used to trade on marketplaces or engage in battles with other players.

The NAPP states that Uzbekistan residents are permitted to play the Hamster Kombat game and accumulate in-game tokens, as they are not cryptocurrencies and are not based on blockchain technology. For this reason, Hamster Kombat tokens are also exempt from NAPP’s regulation.

“However, it is feasible that Hamster Kombat coins may transition to the blockchain in the future, thereby acquiring the status of a crypto asset,” the authority observed.

Selling Hamster Kombat tokens would likely be a problem

Although it is not unlawful to tap and collect tokens on the Hamster Kombat game in Uzbekistan, selling in-game tokens is likely to pose a challenge for many individuals due to local regulations.

The NAPP stipulates that Hamster Kombat players will be permitted to sell their in-game tokens only after the underlying token has been authorized as a crypto asset and is listed on a regulated national exchange.

However, the NAPP noted that these crypto-assets frequently experience a rapid decline in value after their listing due to their lack of practical functionality.

The announcement occurred just a few days after Uzbek-MDK, a local news outlet, reported that Uzbekistani prosecutors would incarcerate Hamster Combat participants who attempted to withdraw in-game tokens.

As previously reported, a 24-year-old man was reportedly sentenced to 10 days of administrative imprisonment by a local court for selling Notcoin (NOT) tokens for 800,000 Uzbekistan soms, equivalent to $63.

Local reports indicate that Pavel Durov, the CEO of Telegram, was observed in Uzbekistan in June. According to certain sources, his visit is likely to be associated with collaborating with regulators to address the legal status of the TON ecosystem in the country.