The Russian government published a draft resolution on banning or imposing restrictions on mining domestically. The ban will go into effect on January 1, 2025, and will continue until March 15, 2031.

according to TASSA mining ban will be imposed in Dagestan, Ingushetia, Chechnya, Kabardino-Balkaria and North Ossetia. the ban It will include mining and participation in swimming pools. The order also did not enter into force in the Luhansk and Donetsk People's Republics, as well as some regions of Zaporizhia and Kherson.

The same restrictions will also extend to certain locations in the Irkutsk Region, Buryatia and Zabaykalsky Krai during peak hours. By 2025, this will apply between January 1 and March 15, with subsequent years seeing the ban come into effect from November 15 to March 15. This is a set of policies that manage the amount of energy consumed and its distribution. Equally across industries.

Experts argue that the ban on cryptocurrency mining is due to the lack of power and the subsidized price at which bandwidth is available in some markets. Sergey Kolobanov, Center for Strategic Research of this mechanism, has become one of the arguments to justify restrictions on inter-regional subsidies, which compensate for cheap energy in regulated areas. Kolobanov states that this restriction is in line with the end of the transition period aimed at removing these benefits. It is expected that energy privatization will one day eliminate the need for such bans.

The Cabinet added that a similar list could be reviewed in light of the proposals of the Electricity Committee, which provides advice on what these areas might include. Experts say that the authorities justified the ban on the basis of energy shortages and varying electricity prices. Countries with relevant regulated contracts enjoy low electricity prices, which are effectively subsidized by producers and consumers in other regions.

Earlier, Russia imposed 15% tax Bitcoin rule (Bitcoin) Mining profits on November 18. The current mining ban in the world's largest country is a result of persistent power shortages and disparate electricity pricing, according to former TASS. a report. Moreover, World Energy Outlook 2023 Countries Power generation in Russia declined in 2022 due to lower industrial demand and export sanctions, while electricity consumption increased by 5.8% in industrial regions by mid-2023. Subsidized regions such as Irkutsk, where electricity is sold at $0.01 per kilowatt hour, have attracted miners. Networks were strained during the peak of winter. The ban will help address energy justice and balance these imbalances while preparing for privatization of energy frameworks.