Russian President Vladimir Putin has recently signed a milestone law to legalize crypto mining in the country. The approval of crypto mining by Putin in Russia denotes a great change in the country’s viewpoint regarding digital currencies. The law reportedly unveils chief concepts like mining pools, digital currency mining, and mining infrastructure operators. Additionally, the law recognizes mining operations as included in turnover instead of digital currency issuances.
🚨BREAKING🚨🇷🇺 PRESIDENT PUTIN SIGNS LAW LEGALIZING BITCOIN AND CRYPTO MINING IN RUSSIA.THIS IS GIGA BULLISH 🔥 pic.twitter.com/OrtCSiMAQ4
— Ash Crypto (@Ashcryptoreal) August 8, 2024
Putin of Russia Legalizes Crypto Mining with the Approval of the Exclusive Law
However, the legislation reveals a restriction in the case of crypto mining. Hence, only registered individual entrepreneurs and legal entities can carry out these operations. On the other hand, it also permits individual crypto miners to take part in these operations without any registration. Nonetheless, they must consume electricity within the limits that the government has set.
The respective provision targets to promote small-scale crypto mining while guaranteeing the transparency and regulation of the bigger operations. In addition to this, the law also allows the trading of digital financial assets belonging to foreign regions. This endeavor opens exclusive opportunities to facilitate traders and investors. Despite all these developments, the Bank of Russia has the authority to prohibit certain assets’ placement. The central bank can do this if such assets pose a threat to the financial stability of the country.
The president stressed the significance of developing a legal agenda covering digital currencies. According to Putin, the country requires seizing the moment in the swiftly evolving field of cryptocurrency. Apart from that, he also focused on the digital assets’ potential to enhance the economic development of Russia. This reportedly stresses the requirement for adequate infrastructure and regulation.
The Law to Take Effect 10 Days Following the Official Publication
The respective law will reportedly take effect 10 days following the official publication thereof. However, this also includes an exception for particular provisions having diverse implementation dates. The respective development will potentially improve the crypto industry of Russia to attract investment. As per the reports, this development also aims to offer a strong regulatory agenda for traders and miners.
