A draft law to regulate cryptocurrency mining has been filed with the State Duma, the lower house of the Russian parliament. The law provides a legal definition for the extraction of digital currencies and envisages the establishment of a register for miners.
Russian lawmakers to review law enforcement regulations for the crypto mining sector
The draft of the new federal law “On Mining in the Russian Federation” is presented to the Duma on Friday, April 29, according to the website of the House. The bill aims to bring the crypto-related industry out of the “gray” economy in Russia, a country rich in energy resources and favorable climatic conditions for mining.
The authors of the bill describe the minting of digital coins as an activity using information infrastructure and equipment located in the Russian Federation, resulting in the creation of digital currency. They also introduce legal definitions for the circulation of digital currencies, mining pools and operators’ mining facilities.
The law provides for the creation of a special register for cryptocurrency miners which will be maintained by an authorized federal body. Private individuals involved in bitcoin mining will be able to register as individual entrepreneurs or self-employed individuals if their electricity consumption exceeds the limit set by the government.
The document quoted by RBC Crypto stated that only registered entities and individuals would be allowed to mine. Operators of mining facilities in Russia will be required to keep records of the cryptocurrencies mined, their types, any contracts with other entities and buyers of coins, exchange operators, payment systems and banks.
If representatives in the Duma adopt the law, a one-year “pardon” will be announced for the registered miners, within which they can settle any outstanding issues with customs clearance for imported hardware, pay the relevant taxes and Will be able to comply with applicable regulations. , This includes the recently adopted rules for money transfers outside the Russian Federation.
Russian authorities are working to develop a comprehensive regulatory framework for cryptocurrencies. A bill “On Digital Currency” has been prepared by the Finance Ministry to fill the remaining legal gaps after the law “On Digital Financial Assets” came into force last year. The department recently revised the draft to clarify certain aspects related to crypto mining. The Russian parliament is expected to approve the law, along with tax amendments, during its spring session.
Do you think the Russian parliament will adopt the mining law along with other crypto legislation? Tell us in the comments section below.
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