Russia imposes a six-year ban on cryptocurrency mining in key regions

Russia launches a crackdown encryption mining, and impose a six-year ban in 10 major regions from January 2025. The drastic move is designed to prevent blackouts and manage the country’s energy supply. According to the local news agency TASSThe ban will continue until March 15, 2031, and will greatly affect both Mining operations and individual miners.

Cryptocurrency mining faces seasonal restrictions in Siberia

Moreover To a comprehensive banRussia applies seasonal restrictions in three Siberian regions. These areas will see limited mining operations during periods of peak energy consumption, from January 1 to March 15, and again from November 15 to March 15 in the following years. These restrictions apply to the Irkutsk, Buryatia and Zabaykalsky regions, where energy demand tends to be higher during the cold months.

The cryptocurrency industry is facing uncertainty amid restrictions

Initially, lawmakers considered banning cryptocurrency mining in 13 regions, but have since backed down to focus on the 10 most important regions. Irkutsk, home to major mining company BitRiver, will be particularly affected. Cheap electricity in the region was a big draw for miners, but these operations are now facing major disruptions. According to local sources, BitRiver, which has a large data center in Bratsk, has not commented on how the ban will affect its business.

While these regulations are intended to manage energy consumption, Russia’s cryptocurrency mining industry faces a difficult future with these restrictions in place, with some regions now seeing more complex seasonal rules rather than a complete ban. It remains to be seen how this will affect global mining dynamics.