Russia Establishes National Cryptocurrency Mining Registry
- Russia launches crypto mining registry to counter illegal activities.
- Aims to enhance tax compliance.
- Addresses ongoing “gray” legal mining issues.
The registry seeks to regulate illegal activities, improving compliance and affecting tax collections from crypto mining operations.
Russia’s new registry addresses illegal mining by targeting unreported earnings. The Ministry of Energy, in collaboration with the Federal Tax Service and the Ministry of Digital Development, spearheads this initiative. Petr Konyushenko, Deputy Minister of Energy, highlights the registry’s role in enforcing regulations and taxation compliance. This collaboration intends to regulate industrial crypto mining effectively.
The introduction of this registry impacts the market by increasing reported tax revenue and targeting illegal mining. Industrial operations will be mainly affected, while domestic users enjoy a 6,000 kWh/month exemption. Russia’s significant crypto mining presence, especially in Bitcoin BTC -0.60% (BTC) and Ethereum ETH -2.90% (ETH), aligns with this regulatory step.
Financially, the registry seeks to increase tax compliance as only 30% of miners registered previously. “Only 30% of crypto miners have registered with the Federal Tax Service since late 2024,” said Ivan Chebeskov, Official, Russian Finance Ministry. Illegal mining detections may increase hash power relocation from Russia, potentially influencing global cryptocurrency markets and prices.
