Fun

Russia Will Not Try to Ban Home Crypto Mining, Finance Ministry Official Indicates

News Feed - 2022-04-03 03:04:48

Russia Will Not Try to Ban Home Crypto Mining, Finance Ministry Official Indicates


A high-ranking representative of the Ministry of Finance in Moscow sees no point in banning crypto mining in Russian households as it would be hard to restrict the activity. The top official also revealed that the department is currently finalizing regulations for the mining sector as part of efforts to legalize Russia’s crypto space. Russia Prepares to Legalize Cryptocurrency Mining


Trying to prohibit at-home crypto mining makes no sense as it would be difficult to impose such a ban, according to Alexey Yakovlev, deputy director of the Financial Policy Department at the Ministry of Finance of Russia. He made the statement at a round table discussion devoted to the legalization and regulation of the industry.


The ministry is now finalizing new provisions that would bring this crypto-related activity into the legal field, Yakovlev announced during a video conference call, quoted by the crypto news outlet Forklog. Russian authorities intend to put an emphasis on ensuring that activities in the sector are economically feasible.


The government also wants to minimize the potential risks. Elaborating on that, the Minfin representative pointed to the threats of money laundering and terrorism financing. He also highlighted the need to guarantee the energy security of the Russian Federation.


Cryptocurrency mining in basements and garages has become a popular income source for many ordinary Russians, especially in regions like Irkutsk where household electricity rates start at just $0.01 per kWh. Power consumption there increased four times last year and authorities believe the spike is largely due to mining hardware running in people’s homes and villas.


In December, the central government in Moscow permitted Russian regions to determine electricity rates in residential areas locally. This will allow regional authorities and utility companies to introduce higher tariffs for household consumption exceeding certain thresholds.


Amid unprecedented western sanctions, Russia is proceeding with efforts to regulate its crypto market, seeing an opportunity to employ crypto assets to restore its access to global finances. While its central bank has been a staunch opponent to the legalization of crypto-related activities, including mining, the Finance Ministry has led a push to regulate them under strict oversight.


In January, President Vladimir Putin urged the two sides to resolve their differences, highlighting Russia’s competitive advantages as a bitcoin mining destination. Calls have been mounting among officials in Moscow and energy-rich Russian regions to recognize mining as an entrepreneurial activity. This week, the Ministry of Energy insisted that the legal vacuum in the sector must be filled “as soon as possible.”


In February, the federal government approved a regulatory plan based on the Finance Ministry’s concept. Shortly after that, the department submitted a new bill “On Digital Currency” designed to comprehensively regulate the crypto economy after the law “On Digital Financial Assets,” which went into force last January, addressed only some regulatory aspects. Tags in this story amateur mining, ban, Bitcoin, Bitcoin mining, Crypto, crypto mining, Cryptocurrencies, Cryptocurrency, finance ministry, home mining, legalization, Minfin, Ministry of Finance, Official, prohibition, Regulation, Regulations, Russia, russian


Do you expect Russia to soon legalize and regulate crypto mining as an economic activity? Tell us in the comments section below. Lubomir Tassev


Lubomir Tassev is a journalist from tech-savvy Eastern Europe who likes Hitchens’s quote: “Being a writer is what I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration. With Over 90% of BTC"s Supply Issued, Bitcoin"s Mining Difficulty Reaches a Lifetime High MINING | 14 hours ago Cleanspark Reveals Texas Expansion — Bitcoin Miner Plans to Add 500 MW of Mining Power MINING | 3 days ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleRecent Poll Suggests 21% of Americans Have Dabbled in Crypto Next articleProsecutor Seeks Thousands of Years of Prison for Missing CEO of Turkish Crypto Exchange Thodex Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItUS Bond Markets Signal Economic Downturn, Trend Forecaster Says if War Ensues "Odds of Recession Increase"


As Americans continue to deal with rising inflation, on Tuesday the spread between 2-year and 10-year Treasury yields inverted, signaling the U.S. economy may be headed for a recession. This week, a myriad of financial reports have noted that the ... read more.NFT Marketplace Opensea to Add Credit Card, Apple Pay Support via Moonpay Study: 10% Growth in Crypto Market Cap Reduces Value of African Firms by 0.76% India"s Crypto Trading Volume Plummets as New Tax Rules Enter Into Force Vaneck Report Calculates Bitcoin Price Could Tap $4.8M if BTC Becomes the Global Reserve Currency

News Feed

Home miners may benefit from NiceHash, Marathon Digital collaboration
Derek Andersen36 minutes agoHome miners may benefit from NiceHash, Marathon Digital collaborationThe new NiceHash firmware will combine the advantages of two products.165 Total views1 Total sharesListen to article 0:00Ne
Wazirx Plans to Delist 3 Stablecoins, Leftover Balances Will Be Auto-Converted to BUSD
Wazirx Plans to Delist 3 Stablecoins, Leftover Balances Will Be Auto-Converted to BUSD The crypto asset exchange Wazirx is following Binance’s move by delisting a number of
Russian Court: Bitcoin Theft Not a Crime
Russian Court: Bitcoin Theft Not a CrimeA Russian district court has dismissed bitcoin theft as a crime since cryptocurrency is not regulated in Russia and there is no legal status
Market Update: Global Economy Jolts Bitcoin, Overall Crypto Cap Loses $50B
Market Update: Global Economy Jolts Bitcoin, Overall Crypto Cap Loses $50B Cryptocurrency markets are feeling a lot of pressure on Thursday, March 12, as the entire cryptoconomy
Ripple to Participate in the Digital Dollar Project’s CBDC Sandbox Program
Ripple to Participate in the Digital Dollar Project"s CBDC Sandbox Program The non-profit organization promoting the creation of the digital dollar, the Digital Dollar Project, has
Amaka Nwaokocha2 hours agoSEC’s appeal won’t be a setback for XRP holders — Pro XRP lawyerJohn Deaton elaborated on the possible scenarios and intricacies of enforcing the summary judgment.2012 Total views17 Total
Bitcoin, Ethereum Technical Analysis: BTC Consolidates Near $28,000, as First Citizen Agrees to Acquire Silicon Valley Bank
Bitcoin, Ethereum Technical Analysis: BTC Consolidates Near $28,000, as First Citizen Agrees to Acquire Silicon Valley Bank Bitcoin started the week trading around the $28,000 mark
Ethereum ETFs could reach $10B AUM in first year: Sygnum Bank
Martin Young4 hours agoEthereum ETFs could reach $10B AUM in first year: Sygnum Bank“When the net flows turn positive and accelerate, this will be a strong driver for the price of Ether,” said Katalin Tischhauser, He
Indian Finance Minister Pushes for International Cooperation on Crypto Regulation — Discusses Awareness Campaign
Indian Finance Minister Pushes for International Cooperation on Crypto Regulation — Discusses Awareness Campaign Indian Finance Minister Nirmala Sitharaman has stressed the impor
Putin Warns Cryptocurrencies Carry Risks, Admits They May Have Future
Putin Warns Cryptocurrencies Carry Risks, Admits They May Have Future Russian President Vladimir Putin has again spoken about cryptocurrencies, noting the “high risks”
Mad Money’s Jim Cramer Apologizes for Being Wrong About Facebook Parent Meta After Stock Plunges
Mad Money"s Jim Cramer Apologizes for Being Wrong About Facebook Parent Meta After Stock Plunges The host of Mad Money, Jim Cramer, has apologized to investors for being wrong abou
RLWC 2021: CoinEx Cheers for Athletes as the Exclusive Cryptocurrency Trading Platform
RLWC 2021: CoinEx Cheers for Athletes as the Exclusive Cryptocurrency Trading Platform press release PRESS RELEASE.On 15 October, England men will face the Samoa men at St James Par