Russian President Putin signs bill legalizing cryptocurrency mining



On August 8, 2024, Russian President Vladimir Putin signed a bill legalizing cryptocurrency mining in Russia. The move is seen as an attempt to circumvent economic sanctions imposed by Western countries in response to Russia's invasion of Ukraine.

Putin signs law on legalizing cryptocurrency mining in Russia - Business & Economy - TASS

https://tass.com/economy/1826725



Putin Signs Bill to Green Light Crypto Mining in Russia - Decrypt
https://decrypt.co/243821/putin-signs-bill-green-light-crypto-mining-russia

BRICS: Russia Officially Legalizes Bitcoin and Crypto Mining
https://watcher.guru/news/brics-russia-officially-legalizes-bitcoin-and-crypto-mining

Russian President Putin Signs Law Legalizing Cryptocurrency Mining
https://cryptonews.com/news/russian-president-putin-signs-law-legalizing-cryptocurrency-mining.htm

The bill signed by President Putin on August 8 introduces new concepts such as 'digital currency mining,' 'mining pools,' and 'mining infrastructure operators,' and treats virtual currency obtained through virtual currency mining as a 'constituent of turnover.'

This will allow legal entities and entrepreneurs registered with the Ministry of Digital Development, Communications and Mass Communications to mine cryptocurrencies legally, and individual miners will also be free to mine as long as they comply with the government's energy consumption guidelines.

In addition to crypto mining, Russian residents will be allowed to trade foreign digital financial assets on blockchain platforms, but the Bank of Russia reserves the right to ban trading in certain assets if they threaten the nation's financial stability.

If no specific effective date is set, the bill will take effect 10 days after publication.



Cryptocurrencies as a form of payment have been illegal in Russia since 2022. However, amid ongoing economic sanctions imposed by Western countries, President Putin is changing his stance on digital assets.

At a government meeting held prior to the signing, President Putin discussed the introduction and use of digital currencies, expressing his view that digital currencies are a promising economic sector, and stressed that in order for Russia to 'seize the opportunity,' it is important to quickly create legal frameworks and regulations, develop infrastructure, and create the conditions for the circulation of digital assets.

Additionally, the BRICS , a group of emerging economies that includes Russia, have reportedly been considering introducing a blockchain-based digital currency over the past few months in order to distance themselves from the US dollar.

Russia and China in particular are looking at cross-border digital currency trade, and digital platforms such as those run by Chinese companies like Qifa could offer a way to circumvent US sanctions.

CryptoNews, a cryptocurrency media outlet, said, 'The development of BRICS digital currencies and payment platforms is expected to accelerate, potentially strengthening the alliance and spurring further change. The BRICS bloc aims to consolidate its position in the global economy and challenge the traditional financial system through continued digital financial innovation.'

in Note, Posted by log1h_ik