Russia may soon add itself to the list of countries that have legalized cryptocurrency mining operations on their soil.
If this happens, things may become quite an interesting for the cryptocurrency industry in Russia. The entire crypto industry will also be able to benefit from Russia’s decision, which is still being considered.
Russia to Legalize Crypto Mining
The chief crypto legislation architect made an announcement about the government of Russia considering the legalization of crypto mining.
The architect revealed that they have already proposed a new bill and have already rolled it out to the interest and concerned parties.
The new bill provides reasoning and it will emphasize the implementation of crypto mining legalization. The new bill is expected to come into force starting from January 1, 2023.
Anatoly Aksakov’s Statement
Anatoly Aksakov, the head of the Committee on the Financial Markets of the State Duma talked about the new bill.
He stated they are planning to read the new proposed bill in December 2022, a month before the expected enforcement of the bill. It would be read at the parliament and then a vote would need to be cast.
If the bill is passed by the MPs, it would come into force from January 1, 2023. However, there is a catch, which is that a similar bill had been proposed at the parliament in the past but the MPs rejected it.
The Bill Process
According to the procedure, the same bill will be read at the parliament twice. On both readings, the vote would be carried out among the MPs and it would need to pass the voting on both occasions.
It was in early 2022 when a similar bill had been proposed that aims to legalize the mining of cryptocurrencies in the country.
However, the MPs were not convinced and ended up voting it down. According to the reports, the MPs criticized that the bill proposed in early 2022 lacked in multiple areas and seemed that it had been rushed.
Purpose of the New Bill
Although Russia adopted cryptocurrencies it did not legalize crypto mining. According to the crypto mining firms, Russia is one of the most suitable countries for cryptocurrency mining activities.
It has a very cold temperature and an abundance of energy that is extremely advantageous for mining cryptocurrencies.
Given the current condition of Russia’s economy and import/export issues, the country may finally vote in favor of legalizing crypto mining.
This way, the country would be able to generate high revenue from the sector. With cryptocurrency mining getting legalized in Russia, competition would rise in the entire mining industry.
The most prominent cryptocurrencies being mined nowadays are Bitcoin, Ethereum Classic, and Litecoin. The legalization would eventually help increase the trading prices of these assets.