Russian authorities are increasing oversight of cryptocurrency mining by implementing a registry to track electricity consumers involved in mining.
Step Towards Mining Regulation
According to a local newspaper, the Ministry of Energy, the Ministry of Digital Development, and the Federal Tax Service of Russia have created a registry sent to regions with increased mining activity. Ivan Chebeskov, an official from the Ministry of Finance, noted that by the end of 2024, only 30% of miners had registered with the Federal Tax Service.
Current Regulatory Landscape in Russia
Russia is actively working towards developing stricter legislation to reduce improper use of energy resources. A new framework requiring individuals and businesses involved in mining to register with the Federal Tax Service was introduced at the beginning of 2024. Citizens can mine up to 6,000 kWh per month without entrepreneur status but must register if exceeding this limit.
Impact of Sanctions on Mining
Russia is facing serious sanctions from the European Union, which adversely impacts the services provided by cryptocurrency exchanges, such as Deribit. In some cases, users with dual citizenship may only access these exchanges under specific conditions. Additionally, bans on mining in several regions are enforced during the winter months to avoid blackouts.
The mining situation in Russia remains tense. Regulation and legislation are striving to create a more orderly and lawful environment for mining, while the repercussions of international sanctions continue to affect the sector.
