Senior Kremlin Official Proposes Crypto Mining Be Classified as “Hidden Export”
Maxim Oreshkin, a senior Kremlin official, has proposed classifying crypto mining as a formal export in Russia’s national trade accounts. His rationale: digitally mined assets—though never crossing physical borders—often get converted and used in cross-border transactions, exerting real pressure on the ruble and balance-of-payments.
Speaking at the Russia Calling! investment forum, Oreshkin argued the sector generates “substantial output” currently absent from official statistics, despite functioning economically like tangible exports. Since mining legalization on November 1, 2024, he’s framed crypto as a “new export commodity” insufficiently valued by the state.
Industry data supports his case:
Oleg Ogienko (Via Numeri Group) estimates annual output at “tens of thousands of BTC”;
Sergey Bezdelov (Industrial Mining Association) cites ~55,000 BTC mined in 2023, falling to 35,000 BTC in 2024 due to halving;
Mikhail Brezhnev (51ASIC) pegs daily national mining revenue at 1 billion rubles, a meaningful digital GDP contribution.
With legalization came tighter rules: legal entities must register with tax authorities; home miners are exempt only if electricity use stays under 6,000 kWh/month. Tax rates stand at 25% for corporations, 13–22% progressive for residents, and 30% for non-residents.
Yet illegal activity persists. Ren TV’s investigation revealed miners evading registration via meter tampering and bribes—costing the state billions in lost electricity and tax revenue.
VECS Commentary
This proposal signals strategic recognition of crypto’s macroeconomic role beyond speculation—no longer a threat, but a balance-of-payments tool. Yet challenges cut both ways:
Upside: Formal inclusion boosts transparency and sector legitimacy.
Downside: Overly rigid enforcement (e.g., mandatory fiat conversion or export bans) could push actors back underground.
The critical factor is balance between oversight and incentive. Without incentives—competitive energy pricing, long-term legal certainty—legalization risks becoming mere taxation, not economic transformation.
What do you think, Vecsian? Write your responses in the comments section. Don't forget to support us as an independent news source.
**This news was obtained and summarized from various sources on the internet.