News
Russia is ready to make Bitcoin mining official with a new classification
- Russian authorities are moving towards greater acceptance of Bitcoin mining as a recognized economic activity, with plans to assign specific OKVED codes to mining operations.
- This step aims to move miners out of regulatory ambiguity and provide them with legal recognition, impacting areas such as taxation and licensing.
Bitcoin mining in Russia is likely to gain greater acceptance in the form of economic activity, a local source familiar with the matter said. Osman Kabaloev, deputy director of the Ministry of Finance, said that he is willing to support this decision and therefore is preparing to assign the OKVED code to Bitcoin mining.
In Russia, an OKVED code is assigned to companies based on their specific economic activities, aiding in the acquisition of state-required licenses related to those activities. This classification also affects various parameters, such as insurance premiums, tax regulations and eligibility for government benefits.
This recognition would help bring miners out of the gray zone in Russia. However, Kabaloev noted that this codification could only happen after the passage of a law regulating cryptocurrency mining activities. “As far as we know, colleagues at the Ministry of Economic Development are already looking into the matter,” he added.
Presented to the Russian State Duma in 2022, Russia has yet to pass a bill aimed at legalizing cryptocurrency mining. However, the Ministry of Finance plans to finalize and approve this regulation within the year, paving the way for the issuance of OKVED codes specifically for cryptocurrency mining.
Alexander Razuvaev, member of the supervisory board of the Guild of Financial Analysts and Risk Managers, highlighted the potential benefits of these measures for the Russian cryptocurrency mining sector. “If implemented, Russian industrial mining could emerge as a significant player in the global market,” he said concluded.
Russia Confirms BRICS Currency, Will XRP Find a Place?
XRP has emerged prominently in discussions following Russia’s announcement regarding the BRICS group’s ambitious agenda to establish a new autonomous payment system. As the BRICS advances its currency autonomy initiative, the potential integration of XRP into this revolutionary financial framework has garnered widespread attention. This strategic move aims to reduce dependence on conventional financial structures, while promoting economic cooperation between member states.
According to a research paper initially unearthed by XRP enthusiast Amelia, Russian President Vladimir Putin has affirmed the bloc’s commitment to advancing its alternative currency strategy. The document suggests that the group intends to explore using XRP, associated with Ripple, to facilitate cross-border deals, according to the Crypto news flash report.
However, at the moment there is nothing official regarding the BRICS currency and the role of XRP as all member countries have to accept it simultaneously. AS reported by Crypto News Flash in May, BRICS countries were also considering having a gold-backed currency.