Russia Proposes Fines Up to 2.5 Million Rubles for Illegal Cryptocurrency Mining

Russia proposes fines up to 2.5 million rubles for illegal cryptocurrency mining.

The Russian Ministry of Justice has proposed amendments to the Criminal Code, introducing fines up to 2.5 million rubles for illegal cryptocurrency mining activities. 

The initiative suggests an addition to Article 171 concerning illegal entrepreneurship.

Thus, engaging in mining activities or providing related infrastructure without registration, if these actions cause significant harm to citizens, organizations, or the state, or are associated with large-scale income, will incur a fine of up to 1.5 million rubles. Mandatory community service of up to 480 hours is also stipulated. 

The same actions, if conducted by an organized group, causing particularly large damage or associated with particularly large-scale income, are punishable by fines ranging from 500,000 rubles to 2.5 million rubles. 

The amendment also introduces possible penalties of forced labor for up to five years or imprisonment for the same period. 

The document is currently under public discussion and review.

Basic regulation of the industry in Russia was adopted in July 2024. The law defined terms such as “mining,” “mining pool,” “mining infrastructure operator,” and “digital currency circulation organization.” 

From January 1, 2025, to March 15, 2031, Russian authorities have imposed a ban on cryptocurrency mining and participation in pools in certain regions, including Ingushetia.

On March 21, the Russian government permitted mining in these regions, provided that self-generated electricity is used and regulatory approval is obtained.