Russia Imposes Winter Ban on Cryptocurrency Mining

The Russian government has announced plans to restrict cryptocurrency mining in specific regions during the winter months to conserve energy. According to Dey There, the ban, spearheaded by Deputy Prime Minister Alexander Novak, will be enforced from December 2024 to March 2031.

Regional Restrictions on Crypto Mining

The proposed restrictions will apply to six regions in North Caucasus and parts of Ukraine currently under Russian control. Additionally, Siberia’s Zabaykalsky region will face similar seasonal bans on mining, starting from December 2024 through to the winter months of 2031. Authorities aim to prioritize energy resources for heating during the colder seasons.

President Vladimir Putin recently signed new regulations governing cryptocurrency mining and taxation. These laws, approved by the government, aim to bring greater oversight to the sector while ensuring proper revenue collection.

Tighter Energy Consumption Rules

Individual crypto miners will also face stricter energy consumption limits. Under the new regulations, a monthly cap of 6,000 kWh will be imposed. Those exceeding this threshold will need to register as “individual entrepreneurs” to continue operations. These measures are designed to balance energy supply and demand while preventing unregulated mining activities.

Impact on the Crypto Sector

The winter mining bans and tighter controls reflect Russia’s intent to optimize energy usage while enforcing stricter oversight of the crypto industry. By curbing mining activity during high-demand seasons, the government hopes to reduce strain on energy resources and increase transparency in the sector.

As highlighted by Dey There, these measures underscore the growing global trend toward regulating cryptocurrency mining and ensuring sustainable energy consumption.

cryptocurrency mining, energy restrictions, Vladimir Putin, North Caucasus, Siberia