Russia restricts crypto-mining to address winter power concerns
Annexed Ukrainian regions face crypto-mining restrictions due to damaged infrastructure and energy shortages.
Russia has introduced a winter ban on cryptocurrency mining in three Siberian regions to prevent electricity shortages during the colder months. These areas, located near Lake Baikal, have become popular for mining due to their low-cost hydropower but face heightened demand for energy during harsh winters.
In territories of Ukraine that Russia claims to have annexed, crypto-mining is also restricted due to extensive damage to energy infrastructure since 2022, causing power shortages.
As a major global crypto-mining player, Russia recently introduced regulations and taxes on the industry, expecting annual revenues of $2 billion.
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