Russia bans cryptocurrency mining in multiple regions, due to energy concerns

The Russian government banned cryptocurrency mining in ten regions for six years. . Russia cited high energy consumption rates in industry as the main reason behind the ban. Cryptocurrencies are particularly energy-hungry, which is exactly what mining operations are .

This ban goes into effect on January 1 and lasts until March 15, 2031. The country’s Cabinet also stated that additional bans may be needed in other regions during periods of peak energy demand. It could also go the other way. The ban could be temporarily lifted or changed in certain areas if a government committee studies changes in energy demand and deems this necessary.

It was just cryptocurrency mining As the country witnessed . Miners must register with the Ministry of Digital Development and energy consumption limits are constantly monitored.

The country has banned the use of cryptocurrencies but allows cross-border payments. The latter is largely seen as an attempt by Russia to avoid sanctions .

Russia is not the only country that has decided to ban cryptocurrency mining due to the industry’s outrageous energy requirements. Kosovo To conserve electricity during the energy crisis. Angola . This country’s law goes further and criminalizes cryptocurrency mining. several European countries, began to regulate industry strictly due to energy shortages.