Russia recently announced its plans to assign a legal status to Bitcoin. While the cryptocurrency community rejoiced about the new developments, it is too soon to break out the champagne as Bitcoin mining can still be considered as a criminal offense, attracting jail time. Many people became aware of the scenario after the head of Russian Central Bank’s cryptocurrency working group explained about it during a recent speech.
According to one of the Russian cryptocurrency news outlets, Central Bank’s Elina Sidorenko, while speaking at the Blockchain Bitcoin Conference Russia clarified that the country is currently working on creating cryptocurrency friendly regulations, which will also be applicable cryptocurrency mining activities. Meanwhile, Bitcoin mining continues to be perfectly legal, but the same can’t be said about selling the mined Bitcoin.
Sidorenko explained that mining Bitcoin while paying for any incurred overhead charges in legal, as the miner would be utilizing the resources for which he/she has paid for. But if a miner tries to sell the bitcoins earned during the process of mining, he/she will end up violating multiple laws. In order to sell the “legally mined” Bitcoin, a miner will have to create a