Russia's New Proposal: A Blow to Illegal Crypto Miners 🚨
The Russian Ministry of Digital Development, Communications, and Mass Media has unveiled a proposal that could severely impact illegal crypto miners in the country. This forthcoming regulation aims to impose substantial fines on unauthorized miners, accompanied by the power to confiscate their precious digital coins.
Fines and Penalties: A Stiff Warning 💸
Under this proposal, individuals found guilty of illegal mining could face fines ranging from 100,000 to 200,000 rubles ($1,272 to $2,544). Even harsher financial penalties are earmarked for solo entrepreneurs, officials, and corporations involved in these illicit activities. The potential cost for companies stands between 1 million ($12,728) to 2 million rubles ($25,456), signaling the administration's zero-tolerance approach.
Mining Pools and Corporate Responsibilities 🌐
Moscow does not merely target individual miners. The clampdown extends to those participating in mining pools or operating as industrial miners. These entities are liable to face penalties and coin confiscation if found exploiting crypto mining rules.
Criminalizing Crypto Payments 🏦
The proposal also extends to crypto payments. While people can mine at home if they adhere to outlined limits, the use of crypto as a payment method outside the Central Bank's framework will attract penalties up to 1 million rubles ($12,728). Notably, unregistered miners must not exceed 6,000 kWh per month and face location-based restrictions. Violators will not only see their crypto seized but also potentially face criminal charges.
Data and Transparency: New Requirements 📊
Miners are now mandated to declare mining activities to Rosfinmonitoring, ensuring anti-money laundering compliance. This move targets mining infrastructure operators, typically encompassing data centers and mining hotel firms, highlighting a significant step towards sector transparency.
