Russian Lawmakers Consider Legalizing Industrial Crypto Mining Sector with Strict Limits on Private Miners

Russian lawmakers are considering a new bill that could legalize the industrial crypto mining sector in the country while imposing strict limits on private miners. The State Duma is set to debate the proposed legislation in the current session, which may also include regulations that would ban crypto exchanges in Russia. However, some exceptions could be made for companies operating under the Central Bank’s supervision in a sandbox environment.

The bill aims to restrict private miners while allowing industrial miners and international trade firms using crypto for transactions to continue their activities. Industrial miners would be required to report their activities to the anti-money laundering agency, and a permit system would be put in place for individuals exceeding energy consumption limits. The bill may come into force on September 1, with industrial miners possibly being allowed to sell coins on foreign trading platforms.

There is still much debate surrounding the terms and scope of potential bans on mining activities in certain regions. Chinese companies are reportedly exploring alternative financing options for Russia-related transactions as major Chinese banks pull back from financing. Law experts in Russia have expressed mixed opinions about the new bill, with some questioning its effectiveness and calling for revisions before it is accepted for a vote.

Overall, the proposed legislation reflects the ongoing efforts by Russian lawmakers to regulate the crypto mining sector while balancing the interests of different stakeholders. The bill could give power to energy providers and local government bodies to oversee and potentially ban mining activities in certain regions, adding another layer of complexity to the evolving crypto landscape in Russia.