The heat of the regulation on the crypto mining industry in Russia is increasing to generate revenue through crypto mining taxes.
The Russian government legalised crypto trading from 1 January 2021. But there are many things in the Crypto law of Russia, which makes crypto law incomplete. Even then they didn’t make laws and rules for the crypto mining operations. Recently, Russian ministers proposed the bill to list the crypto mining industry in the enterprises but the Central Bank of Russia opposed and said Crypto assets are risky, so we should not do the same.
In the latest, Andrey Lugovoy- a parliamentarian- said that they created a working group on this matter.
Andrey is also deputy chairman of a committee on the security and anti-corruption department. He said that crypto mining firms are not paying their taxes on their revenue. As per target, they expected to get US$2 billion per year.
Andrey stated that due to lack of regulation in the situation, law enforcement agencies are in a dead situation and are not able to establish whether crimes are being committed.
Russia contribution to Bitcoin mining
According to available data, Russia is the third biggest country to contribute a high hash rate to bitcoin mining. While the U.S. and Kazakhstan are at the top.
Russia accounted for 11.2% of the global Bitcoin hash rate, which is 6.8% higher than the April contribution.
Since crypto is under legal status but still laws of the Russian government over the crypto industry are not enough to cover all matters related to crypto. In the latest, Russian Association of Crypto Industry and Blockchain (RACIB), Yury Pripachkin, said that the Russian government did nothing for crypto. So probably in response to such concerns, Russian authorities are taking new steps over the industry to bring more associated legislation.
Read also: Citadel CEO very bullish on Ethereum