Russia has announced a six-year ban on cryptocurrency mining in ten regions, alongside seasonal restrictions in other areas, to mitigate energy consumption issues and align with new crypto mining laws.

10 Regions Face Complete Mining Ban

Starting January 1, 2025, cryptocurrency mining will be prohibited in ten Russian regions, including Dagestan, Ingushetia, Kabardino-Balkaria, and Chechnya. The ban also extends to the Donetsk and Lugansk People’s Republics, as well as the Zaporizhzhia and Kherson regions. This measure targets both individual miners and mining pools, aiming to preserve energy resources and maintain power grid stability.

Key mining hubs in Siberia—Irkutsk, Buryatia, and Zabaikalsky—will face seasonal restrictions during energy consumption peaks. These measures will initially apply from January 1 to March 15 in 2025, expanding from November 15 to March 15 in subsequent years. These regions are known for their low electricity costs, which have attracted major mining operations.

Revised Plans to Protect Mining Hubs

Russia’s new approach represents a shift from earlier proposals, which aimed to impose outright bans in 13 regions, including Irkutsk. The Irkutsk region, a vital hub for major crypto mining firms like BitRiver, has been spared a full ban. BitRiver’s data centers in the region leverage cheap electricity, making it a key player in the industry.

Impact on Russia’s Crypto Mining Landscape

The six-year restrictions align with crypto mining laws signed in August and October 2024, marking a significant step in Russia’s evolving approach to cryptocurrency regulation. While complete bans will impact less industrialized regions, the allowance for seasonal mining in major hubs signals a balanced strategy aimed at preserving the industry while addressing energy challenges.

These restrictions, effective until March 2031, could reshape the crypto mining industry in Russia, pushing firms to adapt to new operational limitations.