[2017-12-08] Russian Regulators Draft Law to Restrict Crypto Mining, Payments

[FollowSynergy]

The Russian Ministry of Finance has revealed some details of the upcoming bill to regulate cryptocurrencies which the ministry has been preparing in collaboration with the central bank. The ministry is considering restricting cryptocurrency mining and penalizing crypto payments as well as prohibiting token sales on the secondary market.

Restricting Mining

The clock is ticking for the finance ministry to submit its proposal for the regulatory framework for cryptocurrencies in Russia. President Vladimir Putin wanted the proposal finalized in December to be implemented by July of next year.

“We are now preparing the bill, we have an order to submit it in December, of course, we will fulfil this task,” Deputy Finance Minister Alexei Moiseev told Tass on Wednesday. “We are actively working together with the central bank and the State Duma Committee on Financial markets, the concept is already generally agreed upon,” he added.

According to RT, the finance ministry has proposed penalties for cryptocurrency mining activities. Moiseev was quoted saying:

"The penalties will be different, mostly administrative, but if someone creates cryptocurrencies for the purpose of settlements, then there will be a criminal punishment."

In addition, he said: “Criminal penalties can also be applied to the creation of a financial pyramid or the issuance of a cryptocurrency to avoid tax.” The ministry earlier suggested introducing mandatory registration of cryptocurrency miners and only to allow legal entities and individual entrepreneurs to participate, news.Bitcoin.com reported in October.

The trading and mining of cryptocurrencies, including bitcoin, is not regulated by Russian laws presently. However, Putin has ordered the government to create legislation for cryptocurrencies, including determining their status and creating a legal framework for both crypto mining and initial coin offerings (ICOs).

More: https://news.bitcoin.com/russian-regulators-law-crypto-mining-payments-token-sales/

[Xynerise]

I think mining has a chance to be big in Russia because there's no heat, everywhere is cold.

[Irvinn]

I do not see any prospects for the development of the crypto-currency, based on such a proposed bill of the Ministry of Finance of the Russian Federation. This bill should be regarded more as a prohibition of the circulation of crypto currency in Russia than its recognition and regulation. Therefore, I do not see a realistic prospect for a crypto currency in this country. As expected, the current Russian government does not give its citizens a relative freedom in financial relations and tries to fully control them. Nothing good will come of it.

[greeklogos]

I think mining has a chance to be big in Russia because there's no heat, everywhere is cold.

What did you have at your geography subject at school? 
This news sounds for me out of logic a little. Russia is generally against of crypto, cause of they all kinda foreign products, but at the same time they are on the road of creation of it's national Cryptorubl. That's why crypto mining seem a little bit insane on Russian territory, they don't support other crypto besides their own!

[Lieldoryn]

I think mining has a chance to be big in Russia because there's no heat, everywhere is cold.

Russia very big country. There are many different climate zones. But that's no reason to open the business of mining in Russia. A country in which there are no rules. There the situation can change every day. I do not recommend at all to this country to invest until there is not change the power.

[Xynerise]

I think mining has a chance to be big in Russia because there's no heat, everywhere is cold.

What did you have at your geography subject at school? 

I think mining has a chance to be big in Russia because there's no heat, everywhere is cold.

Russia very big country. There are many different climate zones. But that's no reason to open the business of mining in Russia. A country in which there are no rules. There the situation can change every day. I do not recommend at all to this country to invest until there is not change the power.

Well I know that Siberia in Russia is very cold and full of snow and Russia has nuclear plants so maybe they can use that for electricity if it's the government that's sponsoring it.

[onrise]

I think mining has a chance to be big in Russia because there's no heat, everywhere is cold.

Russia very big country. There are many different climate zones. But that's no reason to open the business of mining in Russia. A country in which there are no rules. There the situation can change every day. I do not recommend at all to this country to invest until there is not change the power.

Government rules and regulations play a vital role for any investor to invest in their country. A stable government and the right law can bring the abundance of finance in that country. But here if Russia is banning the ICO which in a way is good considering they care about the people money and should not get scammed. But if possible they should try to regulate which will help the investors to be safeguarded of their money.

[Kemarit]

LOL at you guys falling for this. The article has nothing special or new to offer to us. This is totally rubbish. Every news agency are not riding on the coat tail of bitcoin because of its popularity. Russia will not even regulation bitcoin or crypto currencies in general. They even have their own crypto backed currencies to satisfy a few. But bitcoin? I don't think so. Don't believed everything coming from them, because they always contradicts themselves. Take everything with a grain of salt. I bet that in the next coming days another news will coming out saying that they are totally banning bitcoin. LOL. Don't be too excited about this unless we see at least 1 mining farm being put out there. For now, I really take everything coming from Russia with a bag of salt.