On August 8, Russian President Vladimir Putin signed a landmark law legalizing cryptocurrency mining in Russia. The new legislation introduces important concepts such as digital currency mining, mining pools, mining infrastructure operators, and address identifiers. Under this law, mining activities are categorized as part of turnover rather than the issuance of digital currency.
The law stipulates that only Russian legal entities and registered individual entrepreneurs can engage in cryptocurrency mining. Individual miners are also permitted, provided they do not exceed the energy consumption limits established by the Russian government. Additionally, the law allows for the trading of foreign digital financial assets on Russian blockchain platforms. However, the Bank of Russia retains the authority to ban certain assets if they pose a threat to the country’s financial stability.
President Putin has previously discussed the importance of establishing a legal framework for digital currencies, emphasizing the need for Russia to “seize the moment” to develop infrastructure and regulations for digital assets. The new law reflects this commitment by creating a regulated environment for cryptocurrency activities.
The law will come into effect ten days after its official publication, except for specific provisions that have different implementation dates.
