Russia Said to Allow Crypto Mining in Regions With Hydroelectric and Nuclear Power – The Central Bank of Russia and the Ministry of Finance recently came to an agreement on rules for mining cryptocurrency. These rules should be put into place by the end of this year. Lawmakers who are still working on it have said that industrial activity should only be allowed in parts of the vast country that can make more electricity than they need.
One of them, Anatoly Aksakov, the chairman of the parliamentary Financial Market Committee, also said that the process, which uses a lot of energy, should be banned in other places where there isn’t enough electricity. The deputy promised that the bill would be sent to the State Duma soon and also asked for mining and cryptocurrencies to be regulated at the same time.
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The idea that digital coins should only be made in places where there is a steady surplus of electricity is not a new one. In February, the Russian Ministry of Economic Development made a proposal that went in the same direction. The department also said that acceptable electricity rates for miners should be put in place.
Roman Nekrasov, co-founder of the ENCRY Foundation, which represents IT companies that offer services in the fields of blockchain and tech innovations, told RBC Crypto about where in Russia he thinks crypto mining operations are most likely to be allowed. He also wrote down the places where miners won’t be very welcome.
He told a crypto news outlet that mining will be allowed in areas with hydroelectric and nuclear power plants, which are already home to cryptocurrency farms. These include Irkutsk Oblast and Krasnoyarsk Krai, which have many hydroelectric power plants, as well as Tver, Saratov, Smolensk, and Leningrad regions, with their nuclear power plants.
Nekrasov said that the capital, Moscow, and the nearby Moscow Oblast, Belgorod Oblast, and Krasnodar Krai, which have always been energy-poor, will probably not be allowed to make digital currencies. He also thinks that the crackdown on illegal mines in Dagestan will intensify. In the Russian Republic, mining has become a popular way to make money because there is a lot of unemployment and not enough electricity.
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The crypto industry expert also thinks that the Russian government might let cryptocurrency be mined in Karelia. Roman Nekrasov said that this could happen under certain circumstances, such as if mining companies were required to help build small hydropower plants. In a study that came out earlier this year, Karelia was named as one of the most popular places in Russia for mining cryptocurrency.
