Russia may expand crypto mining bans

The Russian government may expand the list of regions where cryptocurrency mining is banned if requested by governors, Deputy Prime Minister Alexander Novak told Rossiya-24.

He noted that restrictions would prioritise energy availability for social facilities and industrial projects in regions facing energy deficits.

Regions with energy surpluses may still benefit from mining, as it increases energy consumption and reduces costs per unit of output for energy companies.

A ban on cryptocurrency mining is set to take effect on January 1, 2025, in regions including Dagestan, Chechnya, and North Ossetia, among others, lasting until March 2031.

Temporary bans will also apply in parts of the Irkutsk Region, Buryatia, and the Zabaikalsky region during peak energy consumption hours.

The government stated the list could be adjusted to maintain energy balance based on industrial needs.

Mining was legalised in Russia in November, with reporting requirements for individuals and businesses to the Federal Tax Service.

Attribution: TASS

Subediting: M. S. Salama