Russia has announced a six-year ban on cryptocurrency mining across 10 regions, beginning January 2025. This move, approved by the government, aims to address energy concerns and follows new laws on crypto mining signed earlier this year. The ban, effective until March 2031, applies to individual miners and mining pools in territories such as Dagestan, Chechnya, and the Donetsk and Lugansk People’s Republics.
Additionally, seasonal restrictions will be imposed in key Siberian regions like Irkutsk, Buryatia, and Zabaikalsky. These limits aim to prevent winter energy shortages, initially running from January to mid-March in 2025, with longer periods planned for future years.
The decision reflects a shift in strategy, as earlier proposals considered bans in 13 regions, including Irkutsk, a hub for major mining firms like BitRiver. While the Irkutsk region has been spared a blanket ban, the restrictions may still impact operations reliant on its low-cost energy. Industry stakeholders have yet to comment on the implications of these measures.
Despite curbs in specific areas, Russia continues to refine its approach to cryptocurrency regulation, balancing the sector’s economic potential with energy stability.
A crafty new scam is ensnaring would-be crypto thieves by baiting them with fake wallet seed phrases. Cybersecurity experts at Kaspersky have revealed how scammers post these phrases in YouTube comments, claiming the wallets hold significant funds. The wallets, however, are traps designed to exploit anyone attempting to steal the assets.
One wallet discovered by Kaspersky analyst Mikhail Sytnik reportedly held $8,000 in USDT on the Tron network. A thief must send Tron (TRX) tokens to move the funds to cover transaction fees. Unbeknownst to them, the wallet is a multi-signature account, meaning the TRX sent for fees is instantly redirected to another wallet controlled by the scammers.
Sytnik described the scammers as “digital Robin Hoods” for targeting other opportunists. He advised people never to try accessing others’ wallets, even if given a seed phrase, and to remain cautious of strangers’ claims about cryptocurrency online.
This isn’t the first time fraudsters have exploited greed in the crypto space. In July, Kaspersky exposed a similar scam on Telegram, where users were tricked into downloading malware disguised as legitimate crypto tools, potentially compromising their devices and funds.
The United States Internal Revenue Service (IRS) has reaffirmed that cryptocurrency staking rewards are taxable as income upon receipt, opposing a lawsuit that argues they should only be taxed when sold. According to its 2023 guidance, the IRS considers block rewards as income based on their market value at the time they become usable.
The ongoing dispute involves Joshua and Jessica Jarrett, who earned 8,876 Tezos (XTZ) tokens in 2019 through staking. The couple believe such rewards should be treated as property, similar to crops or manuscripts, and taxed only when sold. They filed their first lawsuit in 2021, which was dismissed after they declined a $4,000 refund offered by the IRS.
In October 2024, the Jarretts launched a second lawsuit seeking a $12,179 refund for taxes paid on staking rewards in 2020. They argue the IRS’ policy unfairly treats new property as taxable income and are calling for a permanent change to the agency’s tax stance.
The outcome of this legal battle could establish a crucial precedent for how staking rewards are taxed in the US, potentially impacting the entire cryptocurrency industry.
El Salvador is celebrating Christmas 2024 with a Bitcoin-themed tree, showcasing its unwavering commitment to the cryptocurrency despite facing restrictions from the International Monetary Fund (IMF). On 19 December, the country added 11 BTC, valued at over $1 million, to its reserves, a move that highlights its bold strategy of embracing Bitcoin as a key part of its financial future.
Despite the IMF’s criticism and a $1.4 billion loan agreement signed the previous week, which includes terms limiting cryptocurrency transactions and the use of state-backed wallets, El Salvador has maintained its position. The IMF’s loan conditions also prevent companies from being required to accept Bitcoin and mandate taxes to be paid in US dollars.
However, the government has remained steadfast, with the National Bitcoin Office reaffirming that no Bitcoin from the country’s reserves will be sold. El Salvador’s total BTC holdings now amount to nearly 6,000 coins, valued at approximately $572 million. The country’s long-term strategy remains focused on Bitcoin as a means of achieving financial independence and reducing reliance on traditional global financial institutions.
Despite facing global scepticism, El Salvador’s Bitcoin strategy continues to evolve, with recent portfolio statistics showing steady long-term growth. The festive Bitcoin tree is a symbol of the nation’s enduring dedication to cryptocurrencies, which could play a significant role in its financial future.
Singapore has solidified its position as a leading hub for the cryptocurrency industry, granting 13 new licences in 2024, double the number issued the previous year. Major firms like OKX, Upbit, Anchorage, and BitGo have benefited from the city-state’s supportive regulatory environment, which encourages innovation and tokenisation projects.
Meanwhile, Hong Kong’s slower approach has hampered its competitiveness. Though the city has fully licensed seven platforms, including four in December, restrictive policies on asset custody and token listings have deterred some firms. Notable exchanges like OKX and Bybit have withdrawn their applications without explanation, highlighting the challenges posed by the region’s cautious framework.
Analysts point to China’s influence as a limiting factor for Hong Kong’s crypto ambitions. With crypto trading banned in mainland China, Hong Kong faces a unique risk profile. By contrast, Singapore’s forward-thinking regulations and welcoming environment have made it a preferred choice for firms seeking a secure, long-term base in Asia.
The Philippine Securities and Exchange Commission (SEC) has unveiled a draft of its ‘SEC Rules on Crypto-Assets Service Providers’ to regulate the country’s booming crypto market. The new proposal aims to establish clear guidelines for service providers involved in activities like trading, custody, and public offerings of crypto-assets, which are defined as digital representations of value using distributed ledger technology.
As the Philippines continues to attract a growing number of cryptocurrency users, especially among its tech-savvy population, the SEC’s rules focus on mitigating risks like fraud and market manipulation while promoting innovation. Under the draft rules, service providers must register with the SEC and comply with the standards outlined in the Financial Products and Services Consumer Protection Act. They will also face strict capital requirements and must submit detailed disclosure documents before marketing crypto-assets to the public.
The proposal also places heavy emphasis on cybersecurity and anti-money laundering measures. Service providers will need to align their systems with the National Cybersecurity Plan and undergo regular audits. Additionally, practices to prevent insider trading and market manipulation will be closely monitored.
The public has until 18 January 2025, to provide feedback on the draft rules, marking an important step in shaping the future of the crypto industry in the Philippines.
As President-elect Donald Trump prepares to take office, the cryptocurrency industry is urging him to swiftly implement his promised overhaul of crypto policies through executive orders. Industry officials are pushing for measures such as creating a bitcoin stockpile, ensuring crypto firms have access to banking services, and establishing a crypto advisory council. They hope these actions will come within the first 100 days of Trump’s presidency, with some anticipating an order on his first day in office, January 20.
During his campaign, Trump positioned himself as a “crypto president” and promised to support the industry’s growth. In contrast to the regulatory crackdowns under President Joe Biden, which focused on concerns about crime and volatility in the sector, Trump’s team is aiming to reverse course, encouraging innovation and positioning the US as a global leader in cryptocurrency. His crypto policy team, including crypto-friendly figures like Securities and Exchange Commission chair Paul Atkins and White House crypto czar David Sacks, is already taking shape.
One of the most discussed proposals is the creation of a strategic Bitcoin reserve, a plan Trump first mentioned in July. Some in the industry, like the Bitcoin Policy Institute, have even drafted potential executive orders for this purpose, suggesting the Treasury Secretary could spend $21 billion over a year to amass the reserve. However, analysts are divided on whether this can be achieved via executive orders or will require congressional action.
Trump is also expected to address the ongoing challenges that crypto firms face in accessing banking services, as many institutions avoid working with them due to regulatory concerns. While an executive order could signal a shift in policy, some executives caution that it may not have the legal force to immediately change regulations, as federal banking authorities are independent.
President-elect Donald Trump has named Stephan Miran, a former Treasury official and economist, as Chair of the Council of Economic Advisors (CEA). Known for his pro-crypto stance, Miran has advocated for reforming US crypto regulations to foster innovation. He has also been a vocal critic of Federal Reserve Chair Jerome Powell’s policies.
Trump’s recent appointments signal a strong commitment to his pledge of making the US the “crypto capital of the planet.” Paul Atkins, a former SEC Commissioner under George W. Bush, will lead the Securities and Exchange Commission, further reinforcing the administration’s pro-crypto agenda.
Additionally, Trump appointed Bo Hines as Executive Director of the Presidential Council of Advisers for Digital Assets. Hines will work closely with David Sacks, the incoming ‘Crypto Czar,’ to implement strategies aimed at advancing the US as a global crypto leader. Despite lacking a history in crypto advocacy, Hines is set to play a key role in shaping the administration’s digital asset policies.
Binance founder Changpeng Zhao has stirred a debate about cryptocurrency adoption in the UAE by claiming the nation holds $40 billion in Bitcoin. This figure, shared in a tweet, quickly captured the attention of industry professionals, including crypto lawyer Irina Heaver, who questioned the claim’s validity, suggesting it may be AI-generated content lacking credible evidence. Zhao acknowledged the uncertainty but suggested the number could be plausible, given the region’s wealth and the growing number of high-net-worth individuals.
The conversation also highlighted the UAE’s expanding cryptocurrency ecosystem, especially in Dubai. Zhao reflected on the city’s rapid transformation from hosting only a few crypto firms in 2021 to now becoming a hub for thousands of blockchain-based businesses. Dubai’s favourable regulatory frameworks, such as the Dubai Multi Commodities Center’s Crypto Center, have been key in attracting global crypto companies.
While the exact value of the UAE’s Bitcoin holdings remains unverified, the ongoing debate underscores the country’s increasing prominence in the cryptocurrency space.
Tether, the company behind the $140 billion cryptocurrency USDT, is making strides in artificial intelligence with plans to launch its own AI platform by the end of March 2025. CEO Paolo Ardoino confirmed the timeline in a recent post, marking a significant step in Tether’s ongoing diversification.
Under Ardoino’s leadership, Tether has broadened its focus, venturing into energy, payments, telecommunications, AI, and commodities trade financing. The company restructured its corporate operations earlier this year to support this shift, further reflecting its ambitions beyond the stablecoin market.
Last year’s acquisition of a stake in AI and cloud computing firm Northern Data hinted at Tether’s expanding interests in the AI sector. While details about the upcoming platform remain scarce, Ardoino emphasised Tether’s commitment to building technology that promotes freedom, independence, and resilience.
