The Russian Justice Ministry has tabled an amendment that will make unregistered cryptocurrency mining a crime with penalties of fines, forced labor, and jail.
The move aims to end energy stealing and mitigate power consumption.
Additionally, the Federal State Statistics Service of Russia has issued
The proposal is aimed at unregistered miners
On December 30, 2025, the Ministry of Justice of Russia published draft amendments to the Criminal Code that make the conduct of illegal cryptocurrency mining an offense under the Criminal Code of the Russian Federation.
These amendments target unregistered and/or non-compliant energy rules of cryptocurrency miners.
Multiple Fines and Forfeiture of Assets
Basic violations can be punishable by fines of up to 1.5 million rubles, equivalent to $15,000, with the confiscation of mining rigs and cryptocurrencies involved in such acts being possible by the courts.
Initial reports in June 2025 proposed a possible fine of between 100,000 rubles for individuals and up to 2 million rubles for organizations, though the recent proposal centers on a maximum of 1.5 million rubles for all violating parties.
Imprisonment or Forced Labor
For organized illegal prospecting or large-scale illegal prospecting that causes considerable energy damage, the punishment includes up to two years of forced labor or up to five years in prison.
Community service, up to 480 hours, is also applicable. These are based upon the provisions in the criminal code for fraud on the supply of electricity.
Energy Security Fuels Crackdown
According to officials, energy security is largely to be blamed, as illegal mines overload power stations, leading to power outages in areas where energy is subsidized.
Illicit power connections result in energy theft and an increase in costs.
The Importance of Siberia and Irkutsk
The crackdown focuses on energy-rich regions like Siberia and Irkutsk due to cheap energy access that lures miners.
Miners have had their equipment seized in the thousands during raids. Seasonal restrictions remain in place for the protection of the infrastructure.
Broader Crypto Regulations
This is in line with the legalization of mining in Russia in 2025, which requires mining to be conducted under registration.
The nation aims to achieve a balanced level of growth while suppressing the unregistered
Industry Impact
The regulations might raise the cost of compliance, which may lead to small firms exiting the industry, making it more dominated.
There are, however, concerns that it might lead to smuggling, which is prohibited.
Global Alignment
This is seen in Russian legislation, reflecting a global movement towards managing mining energy impact.
