Amendments to Russian Digital Assets Law Seek to Allow Mining, Ban Crypto Exchange and Ads



Russian lawmakers have proposed changes to the current law “On Digital Financial Assets” to regulate crypto mining while banning the circulation of cryptocurrencies in the country. The legislation also prohibits untargeted advertising of crypto-related products and services.

New attempt to legalize cryptocurrency mining in Russia

After months of deliberation, efforts continue in Moscow to establish a more comprehensive regulatory framework for cryptocurrencies. The latest move in this direction comes from a group of leading deputies from the lower house of parliament, the State Duma, including the head of the Financial Markets Committee, Anatoly Aksakov.

Lawmakers have tabled a draft law amending the “Digital Financial Assets” law, which has been in force since January 2021. The draft aims to regulate the mining of cryptocurrencies as well as the taxation of the income generated. It allows minted coins to be sold “without using Russian information infrastructure” or through authorized entities operating “under experimental legal regimes”.

The document presents a detailed definition of crypto mining which refers to the use of computing equipment and distributed ledger technology. It also describes mining pools and obliges miners to share information with the state in accordance with the tax laws of the Russian Federation.

Under the proposed arrangements, crypto-mining activities will be overseen by a special body appointed by the government. The executive power will also determine the requirements for legal entities or individual entrepreneurs wishing to get involved in the industry in coordination with the Central Bank of Russia.

Bill’s sponsors seek to prevent wide offering of crypto services

If passed, the new legislation will prohibit advertising or other forms of promotion of crypto assets to an unlimited audience. The ban refers to broad and untargeted advertising of products and services related to the issuance and circulation of cryptocurrencies like bitcoin, excluding mining.

According to Russian outlet, this means that all crypto business activity, such as that of exchanges, for example, would be outlawed, while peer-to-peer trading should be allowed.

Forklog noted in a report that the previously introduced restrictions only relate to the dissemination of information on the offer and acceptance of digital currencies as a means of payment. Another mining bill tabled in the Duma at the end of October permit their use in cross-border payments under sanctions.

The latest piece of legislation is expected to be adopted in December and enter into force on January 1, 2023, Anatoly Aksakov announced. Earlier in November, he revealed that the Russian authorities plan to “allow the mining of any cryptocurrency”.

Keywords in this story

Advertising, amendments, invoice, Changes, Crypto, crypto-mining, Cryptocurrencies, Cryptocurrency, law Project, Swap, Right, legalization, Legislation, mining, Proposals, provisions, Regulation, Russia, Russian, Services

Do you think Russia will legalize crypto mining in the coming weeks? Tell us in the comments section below.

Lubomir Tassev

Lubomir Tassev is a tech-savvy Eastern European journalist who loves Hitchens’ quote: “Being a writer is who I am, rather than what I do.” Besides crypto, blockchain and fintech, international politics and economics are two other sources of inspiration.

Image credits: Shutterstock, Pixabay, Wiki Commons, Vladimir Zhupanenko /

Disclaimer: This article is for informational purposes only. This is not a direct offer or the solicitation of an offer to buy or sell, or a recommendation or endorsement of any product, service or company. 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.

Source link


Comments are closed.