The Russian government has announced a sweeping ban on cryptocurrency mining in ten regions and territories, set to take effect on January 1, 2025. According to the state news agency TASS, the ban will remain in force until March 15, 2031, as part of efforts to prevent energy disruptions and align with recently enacted crypto mining laws.
This decision, approved by Russian lawmakers, comes on the heels of regulations signed into law by President Vladimir Putin in August and October 2024.
Regions Affected by the Ban
The blanket mining ban applies to Dagestan, Ingushetia, Kabardino-Balkaria, Karachay-Cherkessia, North Ossetia, Chechnya, Donetsk and Lugansk People’s Republics, Zaporizhzhia and Kherson
The restrictions will cover both large-scale mining pools and individual cryptocurrency mining operations, making it one of the most comprehensive bans on mining activity in the country.
Seasonal Mining Restrictions in Key Regions in Russia
In addition to the outright ban in ten regions, Russia will enforce seasonal mining restrictions in three Siberian regions—Irkutsk, Buryatia, and Zabaikalsky—to mitigate the risk of winter energy blackouts.
For 2025, these restrictions will be in place from January 1 to March 15. Starting in subsequent years, the restricted period will extend from November 15 to March 15, covering peak energy consumption seasons.
Refined Policies Based on Initial Proposals
The finalized restrictions reflect adjustments to the government’s initial proposal from November, which originally suggested banning mining in 13 regions, including Irkutsk—Russia’s most significant crypto mining hub.
The Irkutsk region, known for its cheap electricity, is a cornerstone of the country’s crypto mining industry. Major firms like BitRiver, which operates Russia’s first and largest data center in Bratsk, heavily rely on the region’s low energy costs. While Irkutsk escaped the total ban, its inclusion in the seasonal restrictions highlights the government’s balancing act between industry demands and energy stability.
