TL;DR Breakdown
• Putin’s administration could cling to crypto-mining after facing economic problems.
• Regulators in Russia mandate crypto-mining companies to register themselves.
Recently the financial secretary in Russia announced that it has successfully closed its crypto-regulatory scheme and hopes to apply it immediately. According to reports, this crypto project touches on mining exploration and passive investments. Regulators try to take advantage of the crypto market as the conflict between its neighboring country, Ukraine, deepens.
Since 2021, cryptocurrencies have been in the sight of Russians who think the market offers many investment and profit options. However, it is a trade not deepened in the country because regulators prevented its access. But with these new reforms, the Putin government could give freedom to the new financial bill.
Problems between Russian banking and the presidency over cryptocurrencies
Since 2022, the Russian Federation bank has been hesitant about the crypto regulation bill, suggesting that the market should be banned. Faced with such an opinion, the president of Russia, Vladimir Putin, and the financial secretary ordered the creation of a regulatory plan. Putin is not only attracted to cryptos but also the mining process for Bitcoin mining or other tokens.
After long months of negotiations, regulators and the government agreed to develop rules for the crypto market. In this way, decentralized commerce will be carried out safely throughout the national territory.
The cryptocurrency will be accepted as a form of remuneration and investment. The crypto exchanges that want to get involved in the plan must be regulated and comply with the accounting standards established by the country.
Crypto mining in Russia
The topics discussed about cryptocurrencies were not only based on personal operations between citizens but also on crypto-mining. Crypto-mining operations have been applied in the territory for a long time, placing the Russians as the third country with the highest compensation rate globally, competing with Kazakhstan and the United States.
Regulators indicated that companies interested in crypto-mining must approve a prior registration to work. This is because the regulatory authority will offer the appropriate rate of return for mining Bitcoin.
This reform could attract new crypto investors in the country and foreigners who trust the crypto regulation bill. However, companies looking to get involved need to analyze a recent crypto plan.
Russian regulators have not discussed the interest they will charge for offering the remuneration index in crypto work, but the commission is expected to be low. It is also unclear what requirements will be requested for crypto companies to operate in the country. Meanwhile, the war between Russia and Ukraine continues to advance, leaving the administration of President Putin heartless.
Source: https://www.cryptopolitan.com/russia-crypto-regulation-bill/