Russian Family Accused of Abusing Benefits for Crypto Mining

A large family in Russia's Tyumen region is suspected of abusing benefits for cryptocurrency mining by disguising it as ordinary household electricity consumption, according to local authorities.

The inspection, carried out in the Nizhnetavdinsky district, uncovered a hidden crypto farm with around 2,000 devices for mining digital assets. The family allegedly used a preferential rate intended for large families to consume cheap electricity for their mining operation.

Criminal cases have been initiated against six villagers under the article on causing property damage, and law enforcement officers seized the cryptocurrency mining equipment. Similar cases were also found in nearby villages, including Isetskoye and Mezenka.

The investigation highlights the issue of 'gray' mining in Russia, where miners abuse preferential electricity rates or hide their operations to avoid taxes and regulations. The Federal Tax Service of Russia monitors tax obligations for mining activities, which include profit tax, personal income tax, value-added tax, and other obligations.