Russia To Tax Cryptocurrencies Miners: Putin Signs 5 Crypto Related Decrees
There were many symptoms for this coming, but even so, it came a bit too hard, in my humble opinion: during last weekend, Kremlin published 5 orders signed by Vladimir Putin, related to crypto-currencies.
The most important one: "miners" will have to declare their activities and a procedure for their taxation should be put in practice. In the same decree there is also a requirement for a new ICO framework. Implementation deadline for this is July 1 2018.
In another decree, this time a bit more ambitious, with a deadline in March next year, Putin asks for a set of measures that will allow Russia to become a single payment platform in the Eurasian Economic Region. The technology for this platform: distributed ledgers.
It's interesting to watch how governments are trying to capture the technology and make it legit only at their level. It's ok for the central bank of Russia to use distributed ledgers, but if you are a miner using distributed ledgers, then you have to pay taxes.
Weather forecast: cold with a chance of freezing coming from the East...
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Yeah, good luck getting the miners to "register." Not gonna happen! With renewable energy innovations like solar panels getting more affordable, tracking down miners will become next to impossible in a country as large as Russia.
ha ha, good call about solar panels. But even small river turbines could make an acceptable pup-up mining setup :)
Hahah. Can you imagine if the crafty, rural Russians start getting into cryptocurrency mining using local river turbines? Putin and his cronies won't be able to do a damn thing.
Sooner or later it was bound to happen. What Russia did today, others will follow tomorrow. Now, we have to see how this actually impacts the miners.
Yeah! The winter is coming!!
I think this kind of strong handed approach will not benefit them in the long run.
I am also curious to see the reaction of the cryptocurrency community to such practices. If this starts in Russia and other governments will follow for sure. Thanks for the post and the info.
Not every government are so "brave" as Russia.
Though of course, it's bravery only in an extremely twisted meaning.
Wait, so the central bank isn't obliged to tax after mining?
Is that serious? Really?
I mean, I can understand the logic behind (they are more trusted), but I'm still sniffing ugly inequality.
@dragosroua,
They understood the power of crypto and I like the ban on ICO :D Coz, I lost my trust on them and it will pulse existing legitimate cryptos!
Cheers~
@dragosroua Putin gets what Putin wants! He had a chat with Vitalik not so long ago so I am sure that he's going to come out with more ninja moves :D
We'll see. So far, nothing unusual from him :)
Yeah! The winter is coming!!
The Weather forecast was absolutely briliant!