Russia's Agenda for "Criminal Scope" Regarding Cryptocurrencies: Support from Leaders Has Also Arrived! - Coin Bulletin

Russia’s financial crime monitoring agency Rosfinmonitoring has raised the issue of classifying illegal cryptocurrency mining as a crime.

Regulations regarding cryptocurrency mining in Russia continue to tighten. The country’s financial monitoring agency Rosfinmonitoring is preparing to propose a legislative amendment to include illegal and unlicensed mining activities within the scope of crimes. This proposal has also received support from key institutions such as the Ministry of Finance of Russia, Central Bank of Russia, and the Chamber of Commerce and Industry of Citizens.

Russian officials have banned mining activities in 9 regions of the country in an effort to mitigate the current energy crisis, especially during the winter months when energy consumption peaks. Despite these restrictions, the continuation of illegal mining activities has led to Rosfinmonitoring taking action.

Cryptocurrency mining, especially on energy-intensive blockchains like Bitcoin (BTC), operates and consumes a significant amount of electricity. The Russian government argues that illegal mining activities are damaging the energy infrastructure and threatening the country’s energy security. According to officials, criminalizing illegal mining activities could make it easier to control energy consumption.

If the proposed legal amendment by Rosfinmonitoring is accepted, it is stated that those engaged in illegal mining in Russia could face not only fines but also imprisonment. It remains a matter of curiosity how this regulation will affect the mining sector in Russia.