Most recently, Russia’s Deputy Energy Minister Evgeny Grabchak announced on March 26 that the legal vacuum in crypto mining needs to be removed, according to a report by TASS. Grabchak highlighted that it would be more effective to decide mining locations and free up energy resources for miners at the regional level rather than at the federal level and that this should be governed via regional development plans. The Deputy Energy Minister also added that the legal void that exists in cryptocurrency mining must be addressed “as soon as possible.”
State member suggests Bitcoins as payment alternative
In the last week, Russian State Duma member and Energy Committee chairman Pavel Zavalny also suggested Bitcoin and national currencies as payment alternatives for energy exports to “friendly nations.” As a follow-up to President Vladimir Putin’s previous demand that “unfriendly countries” utilize the ruble for such transactions, Zavalny suggested gold and Russia’s currency, the ruble, as payment choices for the country’s energy supplies, which the EU refused. Even as Ukraine has legalized the cryptocurrency market and received financial assistance in digital assets, some industry observers worry Russia may use crypto to circumvent financial and economic sanctions. After calling for a cryptocurrency ban before the invasion of Ukraine, Russia’s central bank has now issued a license to the country’s largest bank, Sberbank, so that it may deal in digital assets.
