Russia Prepares Tough Sanctions Against Illegal Crypto Mining

Russia’s Ministry of Justice is moving to introduce stricter penalties for illegal cryptocurrency mining, including heavy fines, compulsory labor and prison sentences.

Illegal crypto mining has remained a controversial issue in Russia, and a newly drafted proposal by the Ministry of Justice has brought the topic back into focus. The ministry is seeking to clearly define and tighten punishments for individuals and groups engaged in unauthorized mining activities. The draft amendments have been published on the country’s official legal and regulatory portal for public review.

Under the proposal, those found guilty of illegal mining could face fines of up to 1.5 million rubles or compulsory labor for up to two years. Authorities say the move is aimed at curbing activities that damage energy infrastructure and generate unregistered income.

The draft also outlines harsher penalties for aggravated cases. If illegal mining generates especially large profits or is carried out by organized criminal groups, prison sentences of up to five years could be imposed. These measures are expected to be embedded through amendments to Russia’s Criminal Code and Criminal Procedure Code. Experts note that the initiative signals Moscow’s intent to strengthen control over energy consumption and reduce gray areas within the crypto sector.