Despite the difficulties, mining capacity in Russia is growing

  • Elena Klimovich
  • 13:25 Feb 06, 2023
  • 290
Despite the difficulties, mining capacity in Russia is growing

Over the past year, there has been an increase in mining capacity in Russia. Despite the sanctions pressure, as well as a significant decline in the crypto market, cheaper miners have had a huge impact on the level of demand. 

The growth, which was observed throughout 2022, led to the fact that the capacity of mining farms in Russia reached 500 mW. The overall market recovery, which began in January 2023, also adds to the positivity. However, not all experts remain positive and emphasize such risks as the prospect of regulation with the introduction of taxes, and higher electricity tariffs. 

Leading companies include BitRiver, Bitcluster, and EMCD. The prospect of making money from mining is attracting more and more participants to this sphere, as it is perceived by many as a significant additional or even primary income. The availability of energy resources, in comparison with many other countries, and the relatively cold climate have a positive impact. 

As for possible threats, the main difficulty here is not so much the prospect of adopting a law on mining and possible tax fees, but the factor of uncertainty. 

Recall that the adoption of a document that would clarify the situation in the crypto-sphere was planned for late 2022-early 2023. However, due to disagreements, the final decision was postponed indefinitely. 

In addition, we should not forget about the geopolitical difficulties, which concern not only miners but also other participants of the crypto-sphere.

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