Russia's Digital Ministry proposes tightening sanctions against illegal cryptocurrency mining

Russia's Ministry of Digital Development has introduced new regulations targeting illegal cryptocurrency mining. Individuals engaged in this activity without the required permits will face fines ranging from 100,000 to 2 million rubles, and their digital assets may be subject to confiscation.

According to Maksut Shadayev, head of Russia's Ministry of Digital Development, Communications and Mass Media, the restrictions are aimed at legalizing the industry. Owners of mining farms will be required to provide regulators with data on their operations, as well as electronic wallet addresses. In light of the central bank’s strict stance on the matter, legislators are working to establish a transparent control system.

Restrictive measures will also apply to cryptocurrency payments. Such transactions could result in fines of up to 1 million rubles. By regulating the industry, the government intends to minimize risks to the financial system while ensuring the collection of taxes on the legal circulation of digital assets.