The laws of the cryptocurrency of Russia have not convinced most of the mining companies to register with the authorities, because only 30% of minors have entered the federal tax register since 2024.
The Russian government began to apply two bills linked to the mining of cryptography in October and November 2024, with legal definitions and registration requirements for mining companies.
However, 70% of minors remain underground, said the head of the Ministry of Finance, Ivan Chebeskov, said on Thursday report by the local TASS news agency.
“During the introduction of mining regulations, our general approach was to bring this shadow industry out as much as possible. We have not yet finished this process,” said Chebeskov.
Regulators undertake to push other inscriptions
Chebeskov said that the recording of Russian mining companies is “still far from over”, adding that the authorities will try to put the remaining 70% in the legal fold.
“We are going to work to finish this process,” he said.
Although Chebeskov has not mentioned any specific planned measure to encourage minors to record their operations, previous reports suggested that Russia could consider more strict sanctions for illegal minors.
On June 9, Forbes Russia indicated that the Russian Digital Development Ministry was working on a new bill to increase fines for illegal cryptography extraction operations to 2 million Russian rubles ($ 25,500) from the 200,000 current rubles.
The application takes measures against illegal minors
Chebeskov’s latest comments came the same day that Russian Enforcement reported the closure of another illegal mining farm in the Russian Rostov region.
Police discovered a mining farm in a garage complex in the city of Bataysk, entering equipment including 13 Crypto mining devices, an official representative of the Russian Ministry of Internal Affairs reported on Thursday.
Local investigators opened a criminal case on the grounds of a crime under article 165 of the Russian Criminal Code, said the manager.
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Last week, local authorities closed another illegal cryptography mine hidden in a truck siphoning electricity from a village in the Pribaikalsky region in Russia.
Russian mining law criticism
Many observers of the local market criticized the laws on crypto mines adopted in Russia at the end of 2024, some arguing that they had not entirely legalized the exploitation of cryptography in the country.
“No new clear regulations are introduced, it only makes the ground for more precise taxation,” said Bestchange chief analyst Nikita Zuborev last year.
Some lawyers have also noted that new crypto mine laws in Russia have introduced a number of restrictions, such as the ban on foreign persons from extracting in the country and imposing mining restrictions in several regions.
Russia industry thrives despite the restrictions
Although the Crypto Mines of Russia have added new limits, the local mining industry has increased, according to the observations of several industry leaders.
Despite the restrictions and difficulties, the mining in Russia continues to thrive, ”said Vyacheslav Kopylov, representative of the local society of the cryptography company at CoinleleGraph.
“The adoption of new laws in November which allow legal entities to put mining equipment on their balance sheets and payment taxes is an important step for industry,” he added.
Kopylov also mentioned that the main events in the local industry, such as the Russian blockchain forum, have increasingly presented companies involved in the exploitation of crypto in Russia.
“Today, most large stands are occupied by companies offering turnkey services, from the design of the data center to the full equipment maintenance,” he said, suggesting that mining has become not only a trend, but an industry in its own right with a developed infrastructure.
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In addition, while Russian laws have prohibited foreign companies from setting up local mining operations, miners from many countries, including China, have been increasingly attracted to Russia due to benefits and cheap energy.
“I saw a lot of Chinese who would like to invest in this sector in Russia, not only because of the friendly relationship between Russia and China, but also because of the right and cheaper energy in Russia,” said Hotcoin chief in Cointelegraph.
“Many Chinese mining machines companies have taken place regularly on the Russian market, and we can see that more Chinese companies would like to join the Russian mining industry in the not too far future,” he added.
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