Legislators from the Liberal Democratic Party of Russia are preparing to introduce a draft law aimed at regulating cryptocurrency mining. Nationalists say that the legislation will benefit Russian citizens and the country, as well as those who wish to legally participate in the business.

Nationalists propose regulations against Russian crypto miners

The popularity of cryptocurrencies has risen along with their market value, attracting the attention of the nationalist faction of the State Duma, the lower house of the Russian parliament. “Unsecured” Bitcoin is currently trading at US$68,000 per coin, one of its members, Andrey Lugovoy, pointed out in a comment to local media this week, adding:

If someone invested 1 million rubles three years ago, they will now have 5 billion.

The representative revealed that his Russian Liberal Democratic Party (Low-density polyethylene) A draft law on the regulation of cryptocurrency mining will be submitted. Digital coin minting has also expanded in this energy-rich and expansive country, and it is still developing in the absence of comprehensive government regulations in the industry.

The profitability of the mining industry has attracted many companies and ordinary Russians to join the industry. Lugovoy believes that it is time to pass new legislation to regulate cryptocurrency mining. The lawmaker was quoted by Regnum News Agency as saying:

We can’t run around.Either strictly prohibit and adjust the law enforcement system [accordingly], Although I really don’t understand how this is done, because as they say, this is a virtual reality. Or, let us allow it.

Nationalists insist that the latter solution will provide protection for Russian citizens, simplify taxation, ensure transparency, and allow the state to exercise control over the sector while increasing budget revenue. At the same time, entrepreneurs will have the opportunity to conduct business legally, the councillor explained in detail.

Andrey Lugovoy also stated that the implementation of regulatory norms is particularly important for regions rich in energy resources, such as Irkutsk Oblast to maintain low electricity prices. Lawmakers pointed out that cheap energy there and in other parts of the country has attracted many cryptocurrency miners.

The Russian Federation only partially regulates cryptocurrencies, and the Digital Financial Assets Act came into effect in January. Although it introduced rules for related activities such as “digital currency issuance,” it did not explicitly mention cryptocurrency mining.

The idea of ??mining as an entrepreneurial activity has always been Get support Government figures and Moscow officials said the move would allow the authorities to tax the profits of miners. In September, this method was support Announced by Anatoly Aksakov, Chairman of the Duma’s important financial market committee, he revealed that during the autumn meeting, the mining industry may be affected by some upcoming legal amendments.

Do you think the State Duma will adopt the crypto mining legislation proposed by Russian nationalists? Tell us in the comments section below.

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