Unregistered Bitcoin Mining in Russia May Soon Come With Up to Two Years of Forced Labor
Russia proposes criminalizing unregistered crypto mining with penalties up to two years of forced labor or prison time.Summary
Russia's Ministry of Justice has published draft amendments to the Criminal Code that would reclassify unregistered cryptocurrency mining from an administrative offense to a criminal one, proposing harsh penalties due to widespread noncompliance with 2024 mining legislation. Under the proposal, individuals face fines or up to two years of forced labor for illegal mining, while large-scale or organized operations could face fines up to 2.5 million rubles, up to five years of forced labor, or similar prison sentences. Despite legalizing mining to bring the sector into the open, officials estimate only about 30% of miners have registered, leaving the majority in a "gray zone" that strains local power grids. Current measures, including fines and seizures, have failed to curb the activity.
(Source：Bitcoin Magazine)