The Russian government has imposed a six-year ban on cryptocurrency mining in ten regions, citing concerns over the industry’s high energy consumption. This ban, effective January 1, 2025, will remain in place until March 15, 2031. The government has indicated that additional bans may be implemented in other regions during periods of peak energy demand, while also acknowledging the possibility of temporary exemptions based on energy availability.
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This move comes despite recent efforts to regulate cryptocurrency mining in Russia. While the practice was legalized in November 2023, miners were required to register with the Ministry of Digital Development and comply with strict energy consumption limits.
Russia’s ban on cryptocurrency mining follows similar actions by other countries grappling with energy crises. Kosovo outlawed crypto mining in 2022 to conserve electricity, while Angola went further by criminalizing the practice in April 2024. Several European countries, including Iceland and Norway, have also implemented stricter regulations on cryptocurrency mining due to energy shortages.
Russia previously banned the use of cryptocurrencies as legal tender in 2022, although cross-border cryptocurrency payments remain permitted. This move was largely seen as an attempt to circumvent international sanctions imposed following the invasion of Ukraine.
