The government wants to limit cryptocurrency mining to areas with hydroelectric and nuclear power facilities that are also energy-rich. The central bank and finance ministry will also forbid cryptocurrency mining in areas with a lack of energy.
Approved by both the Bank of Russia and the Ministry of Finance of Russia.
The government wants to limit cryptocurrency mining to areas with hydroelectric and nuclear power facilities that are also energy-rich. The central bank and finance ministry will also forbid cryptocurrency mining in areas with a lack of energy.
A draught crypto mining law that will be implemented before the end of this year was recently agreed upon by the Bank of Russia and the Ministry of Finance of Russia.
The State Duma will soon receive the crypto mining bill, according to Anatoly Aksakov, chairman of the committee on financial markets. Additionally, he thinks that energy-demanding activities like cryptocurrency mining are inappropriate for places with a lack of energy. Consequently, only allowing cryptocurrency mining in areas with hydroelectric and nuclear power plants that are energy-rich.
The similar viewpoint was shared in February by the Ministry of Economic Development. The ministry previously stated that only areas with a consistent excess in electricity generation are suitable for cryptocurrency mining.
The regions in Russia that are favourable and unsuitable for cryptocurrency mining were listed by the government-appointed experts. Cryptocurrency mining is suited for areas with hydroelectric and nuclear power plants, according to Roman Nekrasov, co-founder of the ENCRY Foundation, who spoke to the local media outlet RBC.
Hydroelectric power stations in the Krasnoyarsk Territory and the Irkutsk Region provide affordable electricity. Additionally, nuclear power reactors in the Tver, Saratov, Smolensk, and Leningrad regions produce reliable electricity. In addition, authorities are expected to outlaw crypto mining in industrial areas and inhabited areas like Moscow. Additionally, authorities might permit cryptocurrency mining in Karelia under specific circumstances.
Recently, a cross-border crypto settlement law was also agreed upon by the Ministry of Finance and the Bank of Russia. The government is of the opinion that using cryptocurrency in cross-border transactions will be advantageous for the nation.
Additionally, Russia seeks to regulate cryptocurrency while addressing worries about money laundering and criminal financing. Sanctions are also putting pressure on Russia, which has a negative impact on trade and economic growth.
