In Brief:
- The Russian Duma assembled a group that will tackle regulation issues of the crypto mining industry.
- The First Deputy Chairman of the Committee on Security and Anti-Corruption, Andrei Lugovoy, will be leading the team.
The Russian State Duma has formed a working team to address the complex issue of developing regulations for the crypto mining industry.
Andrey Lugovoi, the first deputy chairman of the committee on security proposed the formation of an inter-committee working group to discuss the regulatory issues related to the crypto industry.
He claimed that miners currently profit more than $2 billion per year but do not share profits with the state due to a lack of regulatory clarity regarding taxation for the industry.
This proposal prompted State Duma Chairman Vyacheslav Volodin to direct his deputy, Aleksei Gordeyev, to form such a group to be led by Lugovoi.
Lugovoi added, “Due to the lack of regulation of the turnover of cryptocurrency, law enforcement agencies generally fall into a dead end since they cannot establish signs of a crime in the activities of individuals and make the necessary procedural decisions.”
Earlier this week, Russia’s Ministry of Economic Development, Ministry of Energy, and State Duma stated that crypto mining should be legalized and regulated as a business activity.
The Russian central bank opposes this idea due to the high-risk factor associated with cryptocurrency mining.
