Russia is preparing to ban cryptocurrency mining in regions with limited energy resources. This is according to materials from the government commission on the development of the electric power industry, scheduled for November 18.
From December 2024, a ban on cryptocurrency mining may be introduced in several regions, including the Irkutsk region, Buryatia, and the Trans-Baikal Territory. This ban will be in effect from December 1, 2024, to March 15, 2025, and then annually from November 15 to March 15 until 2031. In some other regions, such as Karachay-Cherkessia, Kabardino-Balkaria, Ingushetia, and others, the ban on mining is planned to be introduced for a longer period — from December 1, 2024, to March 15, 2031.
The main goal of these restrictions is to combat the energy deficit caused by large mining operations, especially in regions with limited energy resources. The Ministry of Energy of Russia believes that mining in these areas exacerbates energy problems and requires a solution by transferring miners to regions with surplus energy capacity.
The proposed ban may hinder the activities of both industrial and domestic mining. Market participants express concerns, warning that such measures may force legal miners to move into the gray sector, where the rules are less strict. It is expected that moving to other regions will cost miners twice as much as building a new infrastructure complex from scratch.
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