Bitcoin will be legal in Russia and mining will be regulated


As Russia works on legislation on the Bitcoin trade and other cryptocurrencies, there is a possibility that mining could be criminalized.

Not in the direct sense, according to Deputy Finance Minister Aleksey Moiseev quoted by RT:

"The sanctions will be different, mostly administrative, but if someone created the cryptocurrency for the purposes of the settlements, there will be a punishment penal".

Moiseev confirmed that there would be criminal penalties for people who create pyramid schemes or cryptocurrencies to avoid paying taxes.

The ministry had hinted that the miners would have to register with a central authority, which would allow both companies and entrepreneurs to establish operations.

Bitcoin will be legal in Russia

As the state works on legislation, Moiseev emphasized that the purchase and sale of Bitcoin and other cryptocurrencies would be legalized. The time it will take for this new legislation to take effect is a matter of time, but it could take a few months at least.

This is a very difficult time for the country, as President Vladimir Putin had condemned Bitcoin and the cryptocurrencies in October.

The Russian president ordered the government to establish regulations for the trade of Bitcoin and other cryptocurrencies, ICO and mining in July 2018.

The country is also developing its own cryptocurrency, the CryptoRuble, which ironically can not be exploited. According to reports, CryptoRuble will be controlled by the state and can be exchanged for common rubles.

There are also plans to test the possibility of using Blockchain technology for voting systems in the country.

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