United

2024

Prime

Read

Deputy Prime Minister of Russia, Alexander Novak, convoked a meeting with senior officials to ban cryptocurrency mining in Russia occupied territories of Ukraine to conserve electricity.&nbsp; 
Authorities in Russia intend to ban cryptocurrency mining in certain areas, including occupied territories in Ukraine, to ensure a smooth operation in the event of power shortages ahead of the heating season.&nbsp;There will be specific bans on <a href="https://crypto.news/policymakers-in-russia-postpone-debating-cryptocurrency-mining-bill/" target="_blank">cryptocurrency mining</a> in certain areas, including the occupied regions of Donetsk, Luhansk, Zaporizhizhia, and Carson in Ukraine. Parts of Russia, such as Siberia and the North Caucasus, will also be under the ban.&nbsp; 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 Russia Introduced Bitcoin Mining Bans Across The Nation Starting Dec 2024, Russia’s Energy Ministry is clamping down on mining rigs in energy-stressed zones like Irkutsk, Chechnya, and DPR. Reason? Subsidized power + limited juice = a tightrope of priorities. The takeaway’s… <a rel="nofollow" href="https://t.co/gSGLA5FIc6" target="_blank">pic.twitter.com/gSGLA5FIc6</a>— Mario Nawfal’s Roundtable (@RoundtableSpace) <a href="https://twitter.com/RoundtableSpace/status/1858299057275650259?ref_src=twsrc%5Etfw" target="_blank" rel="nofollow">November 17, 2024</a>
 </blockquote>
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
In Siberian regions such as Irkutsk, Buryatia, and Zabaikalsky, mining will be restricted seasonally, starting from Dec 1, 2024, to Mar 15. 2025, and will continue to be restricted annually from Nov 15 to Mar 15 until 2031. However, the North Caucasus and the occupied territories will see a complete halt on crypto mining from December 2024 until March 2031 with no seasonal exceptions.&nbsp; 
 You might also like: <a rel="" href="https://crypto.news/shanghai-court-recognizes-crypto-as-property-but-bans-business-activities/"> Shanghai court recognizes crypto as property but bans business activities </a> 
This decision comes after President Vladimir Putin signed a <a href="https://crypto.news/russian-parliament-passes-bill-for-crypto-use-in-international-trade-legalizes-crypto-mining/" target="_blank">new crypto regulation</a> on Nov 1 this year. The laws allow crypto mining with strict regulatory oversight and set up experimental frameworks for cross-border cryptocurrency payments. The bill also prohibits domestic crypto transactions to ensure economic stability.&nbsp;As the second largest mining center globally, following the United States, Russia uses aroun<a href="https://www.statista.com/statistics/1333052/electricity-consumption-for-bitcoin-mining-russia/" target="_blank" rel="nofollow">d 16 billion kilowatt-hours of electricity</a> each year for mining. This accounts for about 1.5% of its overall energy consumption and rose three times in 2023, as per data by Statista.&nbsp; 
 You might also like: <a rel="" href="https://crypto.news/trump-favors-crypto-lawyer-and-former-sec-attorney-teresa-goody-guillen-to-head-sec/"> Trump favors crypto lawyer and former SEC attorney Teresa Goody Guillén to head SEC </a> 
In addition to restricting mining activities, Russia has also made changes to its <a href="https://crypto.news/bitcoin-mining-profits-in-russia-to-face-new-15-tax-rules-officials-say/" target="_blank">tax regulations</a> regarding cryptocurrency.&nbsp;From now on, income earned from mining will be taxed according to its market value at the time it is received, with allowances for deducting operational expenses. While transactions involving cryptocurrency would not be subjected to value-added tax, profits will be taxed under a securities tax framework with a personal income tax rate set at a maximum of 15%.&nbsp; 
Furthermore, Russia plans to establish a national cryptocurrency exchange in <a rel="" href="https://crypto.news/moscow-probes-cryptex-uaps-just-days-after-us-sanctions/">Moscow</a> and St. Petersburg, reflecting a dual approach to regulating digital assets while addressing energy challenges. The ban on mining in Russian occupied Ukrainian regions also suggests that Russia is looking to strengthen its control over local resources, adding fuel to the already rickety geopolitical tension.&nbsp; 
 Read more: <a rel="" href="https://crypto.news/web3-and-depin-will-fix-food-delivery-opinion/"> Web3 and DePIN will fix food delivery | Opinion </a>

Russia to ban crypto mining in the Russia-Occupied Ukraine territories

crypto.news

Other articles published on Nov 20, 2024

Bitcoin Price: Beware, Warning Signs Are Multiplying

Exploring the Connection Between Crypto Wallets and Online Gaming

3 Altcoins to Track in the Third Week of November 2024: APT, FLOKI, SOL

Bonk Regains Its Status as the Largest Meme Coin in the Solana Ecosystem

Top 3 AI Altcoins Ready to 50x by January — Get in Before the Bull Run Steps Into Full Power!

Expert Highlights ‘Buy Zone’ on PEPE as FXGuys ($FXG) Goes Cheap on Presale

Join our free newsletter for daily crypto updates!