The "BitExchange" Case: Where is the Line Between NBG Supervision and Investigation?

On 9 October 2026, Imedi published the National Bank's statement regarding the issue related to "BitExchange". According to the statement, the NBG conducted an initial inquiry within its mandate and handed over the materials to the relevant authorised bodies. It also states that the virtual asset service provider was fined during a scheduled inspection for violating rules on the prevention of money laundering and terrorist financing. The brief statement does not specify the amount of the fine, the full act, or the outcome of any appeal.

What the National Bank Can Do

Article 52⁵ of the Organic Law "On the National Bank of Georgia" grants the NBG the right to supervise the activities of virtual asset service providers. The framework includes registration and its cancellation, inspection, regulation, written instructions, additional requirements, restrictions, and sanctions. The basis for a specific sanction must be assessed by its legal act.

Preventive Obligation and Proof of Crime

Article 3 of the Law "On Facilitating the Prevention of Money Laundering and Terrorist Financing" defines a virtual asset service provider as an accountable person, while Article 4 links the relevant supervision to the National Bank. Article 10 provides for the identification and verification of the client and beneficial owner, the establishment of the purpose of the relationship, and monitoring in cases defined by law. Article 25 concerns reporting suspicious transactions to the Financial Monitoring Service.

Violation of this preventive rule and proving the crime of money laundering are different matters. For example, during supervision, the performance of verification or internal procedures may be assessed; in a criminal case, all elements of a specific crime must be established with appropriate evidence. The disseminated information does not give us grounds to definitively attribute a specific crime to the company or any individual.

What Does the Transfer of Materials Mean?

The transfer of materials to an authorised body creates the possibility for further legal assessment. It is not, in itself, an indictment or a court judgment. The NBG's reference to the limits of its own supervisory mandate also does not lead to the conclusion that another body has already established a violation. Information regarding the legal status must be clarified by the acts of the relevant body and the court.

Intention to Discuss Does Not Equal a Decision Made

The statement also indicates that the Board will discuss the temporary recusal of a Board member from meetings during the investigation period at its next session. This should not be presented as a decision already made, a dismissal from office, or an establishment of guilt. Conclusions on the content and basis of any possible measure can only be clarified by a subsequent official decision.

What Documents Are Needed for Assessment?

Assessing the legality of a sanction requires the inspection result, the specific rule deemed violated, the justification for the sanction, and information on any appeal. To assess a potential criminal issue, an officially confirmed procedural status and case materials are needed. The factual basis of this article is the statement published by Imedi; full primary source acts and independent court decisions are not available here.

Article 31 of the Constitution protects the right to appeal to court and the presumption of innocence. The guarantees of Article 6 of the European Convention, which is binding for Georgia, apply to disputes and criminal charges falling within its scope. These are general guarantees and do not provide a preliminary answer on the legality of the given sanction or investigation. The appeal procedure applicable to the sanction must be checked against the specific act; for further information, see General Guide to Appealing Administrative Fines.

Based on the available information, supervision, investigative assessment, and the establishment of liability by a court can be distinguished. A prognosis of the legal outcome at this stage is unfounded. When verifying the current text, it is taken into account that some other amendments published on Matsne will only come into force on 1 January 2027; they are not presented as rules already in effect for the current case.

Legislation verified as of 9 October 2026.

This article is for informational purposes, based on the public sources cited, and does not constitute individual legal advice.