Russia is tightening its stance on digital currency mining with a new proposal from the Ministry of Justice that could introduce strict criminal penalties for unregistered crypto miners. The draft legislation outlines fines, forced labor, or imprisonment for individuals and entities operating mining activities without proper registration.
Penalties could escalate depending on the scale of mining operations and income generated. Smaller unregistered miners may face fines and compulsory labor, while large-scale or organized mining setups could face up to five years in prison, heavier fines, and additional financial sanctions.
The move builds on Russia’s earlier legalization of mining under regulatory oversight, requiring miners to register and submit monthly reports. Authorities say the proposal aims to improve transparency, reduce illegal operations, prevent tax evasion, and ensure regulatory control over the fast-growing mining industry. Stronger enforcement measures are expected to phase in over the coming year as the government increases monitoring and compliance requirements.
