Russian State Duma Approves Criminal Liability Bill for Illegal Mining

Odaily, the State Duma Committee on State Building and Legislation has recommended the first reading of a government bill imposing criminal liability for the illegal mining of cryptocurrencies. The bill adds a new Article 171.6 to the Criminal Code of the Russian Federation, holding individuals accountable for mining activities not included in the state register, as well as for providing mining infrastructure operation services without a license.

If the illegal income or damages exceed 3.5 million rubles, the penalty could be a fine of up to 1.5 million rubles or up to two years of compulsory labor. If committed by an organized group or if the income exceeds 13 million rubles, the maximum fine rises to 2.5 million rubles, with a potential prison term of up to five years. In all violation cases, the mined cryptocurrencies will be confiscated. Currently, approximately 50,000 entities are engaged in mining in Russia, but only 1,489 are registered in the state register.