At a meeting this week in Russia, cryptocurrency miners from 15 countries will show the country’s parliament how cryptocurrencies are mined and explain how the miners’ home countries regulate mining. According to the chairman of the State Duma financial market committee, Anatoly Aksakov, other draft regulations define cryptocurrencies as “other property” for tax purposes and ICOs as crowdfunding with a limit on the amount one person is allowed to invest..
The activity follows orders from Russian President Vladimir Putin, who in October told officials that he wants regulation of digital currencies, ICOs and cryptocurrency mining. The United States and China currently account for about 75% of all the world’s cryptocurrency mining, but Russian cities from St. Petersburg to Kaliningrad also host large mining farms..
As the price of (especially) bitcoin and most other cryptocurrencies rose, massive mining farms with thousands of computing devices have sprung up to speed along the process of earning digital currency by tracing a transaction through the blockchain. Because Russia is pursuing a strategy to regulate cryptocurrencies in its own country, wondering how that structure would play in the world is worth some thought..
Russia is also considering offering its own cryptocurrency, tentatively called the cryptoruble and backed by the country’s energy reserves. There are reports that Russia is also talking with Venezuela about the South American country’s plan to issue its own cryptocurrency (the petro), also based on the country’s energy assets..
http://247wallst.com/economy/2017/12/26/russia-setting-rules-for-cryptocurrency-miners/
