Russia is making a bold move to regulate cryptocurrency mining by imposing a ban in 10 regions until 2031. Starting in January 2025, the restrictions aim to control energy consumption while ensuring industries get the power they need.
But this isn’t just a blanket ban—temporary mining restrictions will also apply during peak energy demand periods. What does this mean for the future of cryptocurrency mining in Russia? Keep reading to find out.
The ban will apply to regions including Dagestan, Chechnya, and the Donetsk and Lugansk People’s Republics, where cryptocurrency mining will be entirely prohibited. This step is part of a broader effort to manage Russia’s energy resources more efficiently while supporting industrial needs.
In regions like Irkutsk, Buryatia, and Zabaikalsky, mining will only be restricted during high-energy demand periods. These restrictions will be in place from January to March 2025, and from November to March in subsequent years, when energy use typically surges.
Flexibility for Future Adjustments
Officials have noted that the list of restricted regions could change based on advice from the government commission in charge of managing electric power. The primary goal is to ensure stable energy supplies for industries while controlling the strain on the grid caused by cryptocurrency mining.
This decision follows Russia’s move in November 2023 to legalize cryptocurrency mining. Under this new framework, miners are required to register with the Federal Tax Service, providing detailed information about their assets and wallet addresses.
Individual miners are allowed to mine up to 6,000 kWh per month, ensuring they follow Russia’s energy policies.
By imposing these restrictions, Russia aims to balance the energy needs of its industries with the desire to regulate cryptocurrency mining. The measures show the government’s effort to integrate crypto mining into the economy responsibly, while maintaining a stable energy supply.
Russia’s decision reflects the growing need for a regulated and responsible approach to cryptocurrency mining worldwide.
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