Russia Expands Cryptocurrency Regulation With New Law

According to Odaily, the Russian government released a document on Friday detailing a new law signed by President Vladimir Putin that significantly expands the regulation of digital currencies. This legislation, which will take effect on November 1, introduces several amendments aimed at enhancing oversight and imposing restrictions on cryptocurrency mining activities based on regional needs. The law grants the government the authority to impose mining restrictions based on location and outlines specific procedures and circumstances under which mining operations can be prohibited. Notably, the law empowers the government to prevent digital currency mining pools from operating in certain areas. Additionally, the government now has the authority to regulate infrastructure providers that support mining operations. The legislation also authorizes multiple federal agencies, beyond the Federal Financial Monitoring Service (Rosfinmonitoring), to access digital currency identification addresses. This expansion includes federal administrative and law enforcement agencies, enhancing their ability to track transactions potentially linked to money laundering or terrorist financing activities. Furthermore, the amendments transfer the responsibility of the national mining registry from the Ministry of Digital Development to the Federal Tax Service, which will now oversee the registration of mining enterprises and remove those that repeatedly violate regulations. While individual miners can continue to operate without registration if they adhere to specific electricity consumption limits, companies and individual entrepreneurs must comply with the new registration requirements.