The Government Commission approved the ban on cryptocurrency mining in several regions

It is planned to introduce the ban during the heating season until 2031 in the Irkutsk, Kherson and Zaporozhye regions, in the republics of Karachay-Cherkessia, Kabardino-Balkaria, North Ossetia, Ingushetia, Chechnya, Dagestan, DPR and LPR, as well as in in certain territories of the Trans-Baikal Territory and Buryatia.

Moscow is not yet on the list of regions subject to restrictions, Interfax quotes Russian Deputy Energy Minister Evgeny Grabchak.

In October this year, the Ministry of Energy first announced a proposal to limit cryptocurrency production in several regions of Russia with local energy shortages.

“In the regions where we have subsidized electricity, where we have regulated contract zones, mining should also not be connected to the electricity grid under these regulated contracts and subsidized prices,” Grabchak said in October (cited by TASS).

According to the deputy minister, in this way miners will be encouraged to switch to their own electricity generation and not create a burden on both the local energy system and the federal budget.

• The law on the legalization of cryptocurrency mining was signed by Russian President Vladimir Putin in early August this year. The document came into force on November 1, 2024. The law establishes a series of restrictions for miners. For example, natural persons can only mine within the limit of energy consumption, and legal entities and individual entrepreneurs are prohibited from combining mining with the purchase, sale and transfer of energy.
• At a meeting in October this year, Putin himself supported limiting mining in regions with problematic energy supplies, citing the fact that “there is not enough electricity in surplus regions.”