Demand for Crypto Mining Equipment in Russia Triples

The cryptocurrency mining industry in Russia is booming, with demand for equipment tripling in just one year.

Azcnews Demand For Crypto Mining Equipment In Russia Triples

The Russian cryptocurrency mining industry is booming, with demand for equipment tripling in just one year. What’s behind this rapid growth?

According to the latest report from the Russian news agency PRIME, in the fourth quarter of 2024, the demand for industrial mining equipment and services in Russia tripled compared to the same period last year.

This growth is linked to changes in the law issued by President Vladimir Putin in the summer of 2024. According to the new regulations, which will come into effect from November 1, 2024, businesses and individuals can engage in cryptocurrency mining after officially registering on the national miner register.

According to these regulations, legal entities and private entrepreneurs are allowed to mine cryptocurrencies after completing registration with a government agency. Individual miners do not need to register if their monthly electricity consumption does not exceed 6,000 kWh. However, if they exceed this threshold, they are forced to register as business owners.

Crypto Mining Activity In Russia Is On The Rise
Crypto Mining Activity In Russia Is On The Rise

However, as the industry grows, the Russian government has also begun to introduce new restrictions to manage energy consumption in many areas. A draft resolution from the government proposes to ban cryptocurrency mining in certain regions, effective from January 1, 2025, to March 15, 2031.

Read more: How Did Toncoin Outperform Bitcoin in 2024?

The ban would affect regions such as Dagestan, Chechnya, and Ingushetia, as well as specific locations in Irkutsk, Buryatia, and Zabaikalsky Krai, especially during periods of peak energy demand.

The Russian government has cited energy shortages and price discrepancies as the main reasons for the restrictions. In regions with low-subsidized electricity, cryptocurrency mining has put a lot of pressure on the local power grid. Additionally, on November 18, 2024, Russia introduced a 15% tax on profits from Bitcoin mining.

(1 vote)

5.0/5

(1 vote)

Latest

Bitcoin Boom Ahead Institutional And Derivatives Data Reveal

News | Bitcoin | Editor Choice

Bitcoin Boom Ahead? Institutional and Derivatives Data Reveal

Market experts believe that Bitcoin (BTC) is in a phase of accumulation rather than topping, predicting a retest before the next explosive breakout.

Bnb Super Cycle – A Massive Rally Or Binance’s Next Big Bubble

News | Altcoin | Editor Choice

BNB Super Cycle – A Massive Rally or Binance’s Next Big Bubble?

Binance’s BNB token is heating up the crypto market with a series of new record highs, but amid the excitement of the so-called “Super Cycle,” many analysts warn it could just be a bubble waiting to burst.

Bitcoin Cools Off After Record Breaking Rally

News | Bitcoin | Editor Choice

Bitcoin Cools Off After Record-Breaking Rally

After a series of record-breaking gains, Bitcoin suddenly slipped more than 2% on Tuesday afternoon as a wave of profit-taking spread and investor caution returned to the crypto market.

Aster Accused Of Inflating Trading Volume, Token Price Drops 10%

News | Altcoin | Editor Choice

Aster Accused of Inflating Trading Volume, Token Price Drops 10%

The decentralized exchange Aster is facing heated controversy after being accused by DefiLlama of fabricating trading volume, causing the ASTER token to plunge sharply.

Bnb Price Surges Toward $2,000 Amid Altcoin Season Boom

News | Altcoin | Editor Choice

BNB Price Surges Toward $2,000 Amid Altcoin Season Boom

BNB continues to set new records as the altcoin season ignites, with investors eyeing the $2,000 milestone amid a wave of market optimism.

Screenshot 2025 09 10 100533