Chairman of the Russian Energy Committee: Illegal crypto mining causes Russia approximately $250 million in losses each year

PANews, January 21 – According to Cryptopolitan, Nikolay Shulginov, Chairman of the Russian Energy Committee, stated that illegal cryptocurrency mining causes losses of over 20 billion rubles (approximately $250 million) annually to Russia's economy and energy sector, resulting in power shortages, grid overloads, and affecting other users including social facilities and newly built residential areas.

Since the end of 2024, Russia has legalized crypto mining, requiring practitioners to register with the Federal Tax Service and pay taxes. However, currently, less than one-third of practitioners have completed registration. This week, the State Duma submitted a bill proposing administrative fines of up to 2 million rubles for illegal mining, with repeat offenders facing fines of up to 10 million rubles. Shulginov further suggested introducing criminal liability, and the Ministry of Justice has also proposed imprisonment or "compulsory labor" for unregistered miners. In addition, the Duma has passed a bill in its first reading authorizing the Ministry of Finance to regulate the crypto market (including mining) to eliminate administrative barriers and increase the industry's registration rate.