Time to Legalize and Tax Bitcoin Mining in Russia, Say Deputy PM, Academic & Think Tank

cryptonews.com:

The voices calling for Russia to legalize Bitcoin (BTC) and crypto mining are continuing to grow louder, with the Deputy Prime Minister, prominent academics, and a leading economic think tank all suggesting that legislation should be rolled out in the near future.

RBC reported that the Russian Deputy Prime Minister Alexander Novak had spoken of a “need to legalize” the sector – allowing miners to make use of “resources in Russia” that could help them in their cause.

Speaking at a political meeting, Novak was quoted as stating: 

“My personal opinion is that, in principle, [mining] should be legalized, and introduced into the tax system. We have extra capacity [surplus energy]. It is important that this is recognized at a legislative level.”

Legalizing crypto mining may still prove problematic, however, due to the fact that the Central Bank still favors a blanket ban on crypto trading, holding, and mining.

But the bank is finding its position increasingly shaky: most leading politicians have called for mining to be recognized as a legitimate form of enterprise, and the Ministry of Finance has considerable support for a bill that seeks to do just that. Leading industrial miners also want the same, even though this will mean they will need to pay tax on their earnings and abide by new regulations.

Regnum quoted Tatyana Skryl, an Associate Professor at the Department of Economic Theory of the Plekhanov Russian University of Economics, as explaining:

“The legalization of cryptocurrency mining would create a new source of income for the [Treasury]. But the legalization of mining alone is not enough. The first step should be the legislative recognition of cryptocurrencies as financial assets that can generate income.”

Skryl added that