After the gains from cryptocurrency mining started surging a major push in regulatory actions has been observed. It is worth noting that Bitcoin miners have reported a surged mining revenue following the 4th halving that took place in April this year.
In a most recent development, Russia, the world power, has announced to take severe steps to ban cryptocurrency mining in some selected regions including occupied territories in Ukraine. Some areas of North Caucasus and Serbia will also be restricted to digital assets mining, primarily due to the power crisis in the regions.
The restriction in these areas will be imposed in December 2024, as winter is approaching and regions need sufficient electricity supply. It is worth noting that the process of mining cryptocurrencies requires huge power consumption as it leverages this energy to operate huge processors that solve computational puzzles.
Russia has made major amendments to its regulations concerning cryptocurrencies and related products, the recent ban showcases the nation’s approach to tackling the illicit usage of electricity for cryptocurrencies.
However, the move of the electricity ministry to impose such bans came after the president of Russia Vladimir Putin signed a new crypto regulation.
A stricter prohibition will be enforced in the North Caucasus and occupied territories, effective from December 2024 to March 2031, with no seasonal exceptions or leniencies permitted.
Russia Once Again Returning to Non-Crypto Ideology!
Since September 2024 the Russian government has made many amendments, which demonstrates its clearer intention to regulate cryptocurrencies.
Russia has one of the highest numbers of crypto traders and holders and it is also one of the most preferred locations of crypto miners.
Earlier this week it was reported by Todayq that the Finance Ministry of Russia has identified digital currencies as properties in order to impose taxes on earning and other activities.
The Russian government has approved amendments to the legislation regulating the taxation of income and expenses associated with mining, purchasing, and selling digital assets. The new rules will also address the responsibilities of mining infrastructure operators concerning tax compliance.
In September, the Federal Security Service of Russia reported the arrest of an individual accused of aiding Ukraine and enabling cryptocurrency transactions.
However, despite back-to-back actions and regulatory disturbance, Bitcoin and the market in wholesome has continued to grow at an appreciable pace reaching above the mark of $3 trillion in market capitalization. On the other hand, Bitcoin’s price has outperformed its previous resistance reaching the new milestone of $94,002, when it was trading at $93,641.
Crypto experts argue that, if the pace of bull pressure remains unchanged in coming sessions then it could surely surpass the much-anticipated mark of $100k. Yet moguls speculate that BTC is expected to reach above $125k by the end of 2025, the immense pressure has led to a spark among investors and experts.
The dominance and market capitalization of Bitcoin continued to grow, when writing the cap was $1.87 trillion and it was dominating 59.99 percent of the wider market.
