Russia's Crackdown on Rogue Crypto Miners

Russia is getting tough on crypto miners who don't follow the rules. The government wants to stop illegal mining and make sure everyone pays their fair share. The Ministry of Justice has proposed new laws. These laws could punish illegal miners with big fines and even prison time. If someone makes a lot of money from illegal mining, they could face up to five years in prison. That's a serious consequence. Only about 30% of miners have registered with the government. This means most miners are still operating in the shadows. The government wants to bring these miners out into the open.Miners who use less than 6, 000 kWh of electricity per month don't need to register. But they still have to pay taxes on the cryptocurrency they mine. This is part of the government's effort to regulate the industry. The government has also made it illegal for foreign entities to mine in Russia. They can also restrict mining in certain regions. This has caused some criticism because it doesn't fully legalize crypto mining. The new laws were signed by President Vladimir Putin in August 2024. They went into effect on November 1, 2024. These laws require all miners to register and pay taxes. This is a big step towards regulating the crypto mining industry in Russia.