Russian President Vladimir Putin has endorsed into law the legalization of cryptocurrency mining in Russia, sparking dramatic gain for Bitcoin toward $60,000.

Russian President Vladimir Putin has legalized cryptocurrency mining in the country, boosting Bitcoin by an incredible margin.

According to a recent publication by Russian news agency TASS, the new legislation introduces crucial concepts such as virtual currency mining, mining pools, and mining infrastructure operators.

The report highlights that Russia now recognizes mining activities as legitimate business endeavors, shifting away from the previous definition of digital currency issuance.

Furthermore, the law outlines specific guidelines for cryptocurrency mining activities in the country. Only Russian legal entities and individual entrepreneurs registered with the government are permitted to engage in crypto mining. However, individual miners operating within the energy consumption limits set by the government are exempt from registration.

The report also reveals that foreign digital financial assets will be allowed to be traded on Russian crypto platforms. However, the Bank of Russia maintains the authority to restrict the listing of specific assets if they pose a threat to Russia's financial stability.

During a meeting with the government to discuss pressing economic issues, Putin expressed his enthusiasm for the potential of virtual currencies. He emphasized the importance of swift government action to establish a legal framework, develop infrastructure, and create an environment favorable to the circulation of crypto assets, recognizing their promise for economic growth.

The law is expected to take effect ten days after its official publication date, according to the report.

Bitcoin Surges toward $60K as Russia Legalizes Crypto Mining

In a remarkable turn of events, the news of Russia permitting crypto mining has significantly impacted the crypto market, with gains surging across the board.

Most notably, Bitcoin has surged toward the $60K region, rallying by an impressive 6% within just a few hours. Other crypto assets have followed suit in this upward trend.

At press time, Bitcoin trades around $59,600.

Russia's Bill to Trade Crypto in Int'l Trade to Take Effect in Sep Notably, this latest development comes two weeks after Russian lawmakers passed a bill permitting businesses to utilize cryptocurrencies in international trade. This move is seen as an attempt to circumvent the Western sanctions imposed on Russia following its invasion of Ukraine.

The law will take effect in September. According to Elvira Nabiullina, the Governor of the Russian Central Bank, the first cryptocurrency transactions are expected to be realized before the end of this year.

Due to pressure from Western regulators, banks in major trading partners like China and the United Arab Emirates have become increasingly cautious in their dealings with Russia, leading to substantial delays in international payments.

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