Russian interest in crypto mining has grown significantly in recent months. The activity, until recently prohibited, has found favor with the authorities. In October, a Russian crypto expert reported that the latter should allow crypto mining in certain regions of the country deemed potentially suitable for this operation.
An increase driven by economic contingencies
In 2022, Russia’s mining capacities have increased significantly to reach 500 MW. This is revealed a survey carried out by the Russian business daily Kommersant, published on Sunday 5 February.
According to the source, this performance has to do with the global economic context. According to investigations, the country was able to take advantage of the collapse in the price of mining equipment. This improvement is also linked to a growing and sustained interest of Russian customers for crypto mining activities.
Above all, the study points out that the sanctions imposed on Russia in the context of the war in Ukraine do not seem to have really affected the activities of the sector. The survey reveals that contrary to the desired result, Western restrictions targeting Russian mining companies have not hit the mark.
Thus, a company like Bitriver, suspected of helping the government circumvent sanctions, has doubled the number of its mining centers, as well as its available capacity. This, by carrying out several large-scale projects in several regions of the country.
Mining capacity growth should continue
According to the survey, crypto mining activities are expected to continue growing this year. Players in the sector should thus benefit from the enthusiasm of the authorities for these operations, which have become strategic. Recently, in fact, the latter had shown themselves in favor of the establishment of regulations on crypto mining operations.
This law, still behind the scenes of the Duma, should, if it comes into force, promote the emergence of crypto mining companies in regions where access to energy is less difficult.
This text must nevertheless take care not to weigh down, via too strict taxation, the profitability of the crypto mining for stakeholders. For the time being, the terms of taxation are under study.
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