‘It Is Impossible To Ban Crypto,’ Russian Minister of Finance Anton Siluanov Stated

”It Is Impossible To Ban Crypto’

In response to the current discussion between the Ministry of Finance and the Russian Central Bank, which wants to prohibit crypto, Siluanov stated that a crypto ban is impossible, comparable to an internet ban.

He acknowledged that the perceived threat by the Russian Central Bank was real, but releasing regulation was preferable to a blanket prohibition.

He also stated that Russia needs to develop a legal framework for cryptocurrency mining in order to tax the industry. At this time, it appears like Russia is preparing to entice some miners from Kazakhstan, which is prepared to tenfold increase the crypto mining tax.

Russia Proposed Crypto Mining Tax Reduction

The Russian Ministry of Economic Development (RECD) has declared that it would reduce taxes on Bitcoin mining activities by a significant percentage.

This is one of the key ways Russia’s President, Vladimir Putin, can position the country to gain the most profits from the multibillion-dollar business.

While the legislative department continues to work on the task of developing a complete guideline for crypto legislation, it is unclear if the contents of such laws will be adopted by the government. However, Vladimir Putin firmly believes in his intention to centralize and control all kinds of cryptocurrency issued or exchanged within Russian territory.

It is also rumored that the new legislation prohibits the operations of prominent exchanges and data analysis platforms like Coinbase, FTX, and Chainalysis, since the Kremlin thinks that these companies might be weaponized as data mining tools for data on Russian individuals.

Over 12 million cryptocurrency wallets have apparently been opened in Russia alone, with a total value of over 2 trillion rubles. Russia presently ranks third in the world in terms of global mining capacities and has been dubbed the “next mining heaven” after Kazakhstan began suffering to an overburdening of its electrical supply capacity due to mining operations.

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