Russia Crypto Mining Legalization ‘Will Boost State Coffers by $570M’
Russia’s crypto mining legalization could provide the Treasury with a $570 million boost, lawmakers estimate.
After years of going back and forth on the matter of crypto mining regulation, parliamentarians say they are finally ready to vote on legalizing industrial mining.
The newspaper Izvestia reported that the bill will be set before the State Duma this week.
Top politicians claim it could be adopted “in full” before the end of the current session on August 5.
“Market players” told Izvestia that bringing the industry “out of the shadows” will also help its development and provide Russia with new cross-border settlement options.
The report claimed that industrial miners “can bring” the nation “about $2.8 billion of net liquidity” in crypto.
The vast majority of Russian crypto miners focus their efforts on Bitcoin (BTC), although smaller numbers instead choose to mine tokens like Litecoin (LTC).
The $570 million boost, however, will mainly come in the form of tax revenue. At present, mining has no legal status, so industrial players do not pay taxes on their profits.
Miners are keen to change this, apparently confident that the value of future investments will outweigh any future tax bills.
Izvestia says the bill “was prepared a year and a half ago, then revised several times.” But its latest iteration only made it to the State Duma “following President Vladimir Putin’s instructions last week.”
The media outlet noted that the bill’s first reading is likely to pass without event. However, politicians are likely to make amendments ahead of the bill’s second and third readings.
Valery Seleznev, the first deputy chairman of the head of the State Duma Committee on Energy, told the newspaper that he expects the Russian lower house to
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