Kazakhstan Continues to Use Restrictive Bitcoin Mining Regulation

A bill that would create new licensing and electricity purchase requirements has been sent on to a third vote.Author:BtcCaseyPublish date:Dec 7, 2022A bill that would create new licensing and electricity purchase requirements has been sent on to a third vote.Kazakhstan is moving forward with regulation that will further stifle its bitcoin mining industry.The country’s federal parliamentary body has completed secondary approval of a bill “On Digital Assets in the Republic of Kazakhstan.” The legislation, which has received a third approval from the Senate, will establish new licensing requirements for bitcoin miners that are based on the ownership of their facilities and their operational structure. It would also require miners to purchase electricity from Korem at market prices. Prior to this, tax reporting and reporting requirements were established. These included registration of names, addresses, and quarterly reports to government. These were due to the large influx of mining that occurred amid energy shortages and protests. After the ban on bitcoin mining, Kazakhstan took control of up to $200 million worth of mining equipment that was not in compliance with regulations. The country continues to seek to absorb the benefits of bitcoin mining by adopting legislation such as this recently approved bill. Bitcoin Magazine previously reported on Kazakhstan regulation, citing a report by Tass, a Russian media outlet. Ekaterina Syshlyaeva, a member of the Committee on Economic Reform and Regional Development of the Majilis (Kazakhstan’s federal parliamentary body), reported on the government’s intentions. She described how Kazakhstan was used as a “raw material appendage of the Blockchain industry.” We require miners to obtain a license in Kazakhstan through [bills], that is, to form legal entities and become full-fledged tax subjects. Tagsterms:KazakhstanelectricityMiningRegulation

 

Add a Comment

Your email address will not be published. Required fields are marked *