The main leaders who are in charge of crypto legislation in Russia have proposed that after the country discloses its long-awaited legislation for crypto and Bitcoin then only the industrial miners would be allowed to operate in the country.
A senior MP, Anatoly Aksakov, who is also the chairman of the Committee on Financial Markets of the State Duma said in a statement that miners are likely to be forbidden from mining in some areas and asked to operate in only some parts of the country to prevent a strain on occupied energy grids.
He also said that the mining process should be allowed only in regions where there is a surplus of energy and there should be involvement of legal entities in mining. The mining activity should be regulated, The MP believes.
Sharing his perspective on mining revenues, the MP explained that the tax rates should be devised so that they are in close proximity to the established tax in the market for services and goods. The MP also is in favor of VAT and Income tax in the sector.
Further, the MP also said that the Central Bank is still firm in its stance of a blanket ban on all operations involving digital assets in Russia. This translates to the fact that there are quite a lot of “improvements are expected” before the parliament starts proceeding with the bill.
Earlier, Aksakov had said that the bill is likely to pass the Duma before the first half of this year ends and the spring session of the Duma completes. Recently, he claimed that the bill as it is being discussed at the government level would be prepared for MPs to start voting on by next month.
Such strict restrictions on the mining sector are also not enough for the Central Bank as it recently compares crypto with “pyramid schemes.”
Moreover, Aksakov said that mining measures could be kept for a separate draft law on the “legalization of crypto assets,” that the Ministry of Finance has framed.
The ministry also wishes to set up a legal rights system for those who own crypto along with setting a legal limit on the amount of fiat Russians can use for investing in crypto in a span of a year. The ministry plans to raise funds by taxing profits earned by crypto traders and earlier also indicated taxing the earnings of miners too.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.