Want create site? Find Free WordPress Themes and plugins.

Before discussing the legality, we’d like you to know exactly what is Bitcoin mining is and how does it work.

Bitcoin mining refers to the process of adding transaction records to a public ledger called Blockchain. In this ledger, every single Bitcoin transaction is recorded, and the record is always open for the public access. The record of these transactions is organized into blocks.

The creation of these blocks is what Bitcoin mining is based on. Every time a new block is created, it is added to the Blockchain for public to see it. However, it does not reveal the identity of parties involved in the transaction.

The block creation is done through solving mathematical algorithms using powerful computers.

So Why Would It Ever Be Considered Illegal?

There may be several reasons as to why people consider it illegal. More than often Bitcoin mining is confused with counterfeiting the money, which is completely false.

You are not counterfeiting your national currency, but rather creating a completely new currency.

Another reason behind some governments opposing Bitcoin is due to it being decentralized. Due to the fact that Bitcoin cannot be regulated or controlled, several governments view it as a threat to their national currencies. Some governments also believe that Bitcoin is actually undermining the government itself by offering non-state currency.

Moreover, the Bitcoin cryptocurrency can be mined illegally. One of the most common examples is the miners hacking your PCs through malware and using their processors to mine coins.

In Which Countries Is Bitcoin Mining Illegal?

The governments all around the globe have a mixed stance on this subject. For example, in Russia, the possession, as well as the use of Bitcoin is illegal. In fact, Russia is considered to be one of the biggest anti-Bitcoin countries out there. Presumably because of the current financial crisis brought about by low oil prices and the sanctions instituted as a result of Russian activities in Ukraine.

Ecuador is another country to oppose Bitcoin, but interestingly enough, has launched its own digital currency. The currency is designed to lower the government’s reliance on fiat currency.

Another country to outlaw Bitcoin is Iceland. Then there are other governments such as Indian government that have made negative comments against Bitcoin but haven’t launched any official bans on the mining/ownership of the currency.

Legal Bitcoin Mining:

The majority of governments seem to be okay with Bitcoin and have not made any negative remarks or launched an official ban as of yet. US, China, South Korea are few to name.

In these countries, you can legally mine the coins by using your own Bitcoin mining hardware and electricity resources. However, stealing the said resources may still result in prosecution.

For more information on mining hardware, Read our guide on how to set up a bitcoin miner.

Conclusion:

In all, Bitcoin mining is completely legal and safe for the users. Although there are some countries that have outlawed the currency, many countries remain to be silent on the issue and have passed no legislation for or against the most widely used cryptocurrency.

Did you find apk for android? You can find new Free Android Games and apps.

2 thoughts on “Bitcoin Mining – Is It Illegal?

  1. I must say it was hard to find your website in google.
    You write awesome posts but you should rank your blog higher in search engines.

    If you don’t know how to do it search on youtube:
    how to rank a website Marcel’s way

  2. After I originally commented I seem to have clicked on the -Notify me when new comments are added- checkbox and now every time a comment is added I recieve 4 emails with the same comment. There has to be a way you are able to remove me from that service? Appreciate it!

    https://rebrand.ly/bitcoin-4-a-penny

Leave a Reply

Type Comments Here

Your email address will not be published.

Share Your Toughts

BTC calculator:

btc =

BTC price:

1 BTC = 5682.79000 USD
1 BTC = 4875.13000 EUR
1 BTC = 97.9400000 LTC
1 BTC = 18.4400000 ETH
1 BTC = 646013.1300 JPY
1 BTC = 4362.37000 GBP
1 BTC = 5687.82000 CHF
1 BTC = 7316.66000 AUD
1 BTC = 7320.62000 CAD
1 BTC = 9389.83000 BGN
Powered by Crytptocurrency All-in-One Data by CryptoCompare API