Russian Ministry of Economic Development proposes legalizing Bitcoin mining in "specific areas" to oppose central banks!

Russia's stance on cryptocurrency remains divided among top government officials. While the central bank strongly opposes cryptocurrencies, the Russian Ministry of Economic Development has proposed to regulate cryptocurrency mining. The proposal has been approved, allowing mining activities in regions with "excess electricity generation capacity."

According to the local media Izvestia on the 15th, the Russian Ministry of Economic Development has proposed to allow mining in regions with excess stable electricity generation, reduce commercial tariffs for electricity consumption, and impose taxes on converting cryptocurrencies to rubles. The Ministry believes that taxing operational profits is preferable to taxing the transactions themselves.

As reported by Cointelegraph, the Ministry of Economic Development also suggested reducing the costs of establishing mining farms and data centers in specific areas of Russia to encourage mining companies by providing lower prices. However, they aim to restrict individual mining power consumption to avoid the risk of power shortages in residential areas or areas where stable power supply is essential for social and infrastructure facilities.

The proposal from the Ministry of Economic Development contradicts the stance of the Central Bank, highlighting the differing views within the Russian government on cryptocurrencies. The Central Bank of Russia is actively promoting the digital ruble and opposes the use of cryptocurrencies.

Anatoly Popov, Deputy Chairman of the Russian Federal Reserve Bank, stated that Russia needs regulation rather than a ban on cryptocurrencies. He urged the government to promptly implement proper regulatory measures to allow the country's citizens and organizations to legally access cryptocurrencies while preventing illegal activities such as money laundering.

This article is authorized to be reprinted from Horizon News Network