The Russian Ministry of Justice has introduced draft amendments that would impose criminal penalties for illegal cryptocurrency mining, including fines, forced labor, and prison terms of up to five years for serious offenses, as part of broader efforts to tighten regulation of the digital asset sector.
The proposed changes to the Criminal Code and Criminal Procedure Code of the Russian Federation were published on the government’s draft regulatory acts portal.
A new provision, Article 171.6, “Illegal mining of digital currency and activities of a mining infrastructure operator,” would criminalize unregistered mining activity and establish penalties ranging from administrative sanctions to criminal liability.
Under the draft law, individuals conducting cryptocurrency mining without registration in the official mining registry could face a fine of up to 1.5 million rubles, compulsory labor for up to 480 hours, or forced labor for up to two years if their activities cause significant damage or generate income above a defined threshold of 3.5 million rubles.
Part two of the article addresses more serious conduct, including cases involving organized groups or particularly “large-scale” operations, defined as generating more than 13.5 million rubles.
Those convicted could be subject to fines of 500,000 to 2.5 million rubles, forced labor for up to five years, or imprisonment for up to five years with additional financial penalties.
The proposals come more than a year after Russia legalized cryptocurrency mining on November 1, 2024, and launched special registries overseen by the Federal Tax Service.Â
All legal entities, individual entrepreneurs, and other operators involved in mining must register and report mined digital assets monthly through the tax authority’s portal. By May 2025, more than 1,000 participants were listed in the official registry.
In early December, Deputy Prime Minister Alexander Novak said the government plans to expand criminal liability to cover not only illegal mining but also unlicensed lending activities in 2026, underscoring a broader move to formalize the crypto sector while deterring illicit operations.
If enacted, the new law would represent one of the strictest legal frameworks globally for regulating and enforcing compliance around digital currency mining.