Authorities in Russia are planning to expand the ban on cryptocurrency mining. Currently, it applies to about 12 regions, but the list may grow.
Two more regions may fall under the new restrictions. Local miners there only recently shut down their farms for the winter, hoping to resume work in the spring. Now, however, the discussion is about shutting down mining completely, without seasonal pauses.
Russian authorities to halt mining in two Siberian regions
Authorities in Moscow are preparing to tighten restrictions on mining in Siberia. This concerns the southern areas of Buryatia and Zabaykalsky Krai, where only a temporary ban is currently in place. If the decision is made, mining there will be closed for the entire year.
The plans became known from a Kommersant publication. The newspaper refers to a draft protocol of a meeting of the government commission on electric power. The document indicates that a permanent ban may be introduced as early as next year.
Until recently, only seasonal measures were discussed in these regions. Last winter, mining there was suspended due to peak electricity consumption. The restrictions were supposed to be in effect from mid-November 2025 until spring 2026.
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The reason is infrastructure. The southern areas of Zabaykalsky Krai, Buryatia, and Irkutsk Oblast are powered by the same segment of the Siberian power grid. When the load increases, the network cannot cope.
A similar scenario has already been implemented in Irkutsk Oblast. Mining was banned there earlier, and regional authorities later reported that this freed up about 320 MW of capacity.
Talks about expanding the ban to neighboring regions began as early as the beginning of November. At that time, the Ministry of Energy cautiously indicated that such an option was being considered, although a month earlier they assured that they did not plan to expand the restrictions.
This uncertainty was also voiced publicly. At a Federation Council meeting, a ministry representative directly stated that the situation was under control and that, if necessary, they were ready to shut down mining for the entire year, following the example of Irkutsk Oblast.
Russia’s policy on crypto mining remains ambiguous
In the second half of 2024, Russia legalized cryptocurrency mining. At that time, authorities expected the country could profit from cheap electricity and a cold climate, which are suitable for mining farms.
Formally, everything seemed simple. Mining was recognized as a legal activity, and those who wanted to engage in it were only required to register for tax purposes. Essentially, this was the first segment of the crypto market in the country to receive clear rules.
In a number of regions, mining quickly began to create problems. Where electricity is cheap, farms started appearing one after another. And not only legal ones. In certain areas, the load on the networks increased sharply, outages began, and there was simply no free capacity left.
At first, the authorities tried to act gently. Mining was restricted during the coldest months, when electricity consumption is already high. But this was not enough. In several regions, they decided not to wait and shut down cryptocurrency mining for several years, until spring 2031.
Now such restrictions are already in place in more than one location. Bans have been introduced in at least ten regions, from Siberia to the North Caucasus. They also cover territories in eastern Ukraine that are under Russian control.
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At the same time, the authorities have not developed a unified position on mining. In recent months, statements have varied.
In the summer, Vladimir Putin explained the restrictions by a lack of electricity. He said that in some regions, miners are effectively taking all available reserves from the networks.
By December, the tone had become noticeably softer. Deputy head of the presidential administration Maksim Oreshkin already called mining a kind of ‘hidden export’ amid sanctions and a decline in foreign trade. According to him, this sector should be taken into account in the country’s balance of payments.
While the federal government debates the pros and cons of the sector, the government is simultaneously trying to bring order at the local level. According to officials, only about a third of mining companies are currently registered with the tax service.
The rest either operate in the gray zone or are completely illegal. Authorities are increasing pressure on such farms, especially those connected to the networks illegally. Since the beginning of the year, more than 100 such facilities have been closed in one region alone.
Inspections are carried out jointly by energy and law enforcement agencies. And with each new wave of restrictions, methods on both sides are becoming more sophisticated.
