Russia defines how to measure penalties for illegal cryptocurrency mining

Russia is addressing the issue of unauthorized cryptocurrency mining with a legislative proposal that establishes differentiated economic sanctions. A deputy of the Russian State Duma has introduced a bill that implements a system for measuring penalties based on the category of offenders, representing an attempt to normalize the sector through the imposition of proportionate fines.

Economic sanctions for different subjects

The proposed sanctioning system foresees three distinct levels of penalties. For private citizens involved in illegal mining, fines range from 100,000 to 150,000 rubles. Public officials participating in these illegal operations should face more significant sanctions, ranging from 300,000 to 800,000 rubles, highlighting the greater responsibility of individuals in positions of authority. Legal entities and companies involved in unauthorized extraction activities would receive the harshest penalties, ranging from 1 million to 2 million rubles.

The regulatory goal of the proposal

This initiative reflects Russia’s intention to regulate the mining sector through a legal framework that clarifies how to measure appropriate penalties according to the nature of the offender. The proposal aims to combat uncontrolled cryptocurrency operations within the national territory, while establishing a responsibility system that distinguishes between individual violators, corrupt officials, and commercial organizations, thus creating a more coherent regulatory structure for controlling the Russian digital economy.