Russia Proposes Five-Year Prison Sentences for Illegal Cryptocurrency Mining
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
- Penalty Escalation: Russia's Justice Ministry has proposed criminal penalties, including up to five years imprisonment for illegal cryptocurrency mining, through the introduction of Article 171.6, reflecting the government's intensified regulatory stance on the crypto industry.
- Income Thresholds: The draft legislation stipulates that individual miners generating over 3.5 million rubles (approximately $35,000) will face fines up to 1.5 million rubles or two years of forced labor, indicating a stringent crackdown on high-income illegal mining activities.
- Electricity Theft Issue: In the first half of 2025, illegal mining in Ingushetia resulted in the theft of 35.4 million kWh worth $4.3 million, accounting for 94% of all unaccounted electricity consumption in the republic, highlighting the sector's impact on national energy resources.
- Industry Compliance: As of May 2025, over 1,000 entities have registered as legal miners in Russia, yet compliance remains low, prompting the government to seek regulation through the new legislation to ensure stable tax revenue and electricity supply.
About the author

Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.






