Over the past 5 years, Russia’s electricity consumption in the crypto mining industry has already increased almost 20 times. Now they want to step up these efforts even further.
Interesting to mine in Russia
Russia, in turn, possesses many types of electricity generation, including nuclear power plants, hydropower facilities, as well as the availability of capacity reserves. This makes it possible to mine cryptocurrencies in a green way, which is happening more and more. It also makes mining in Russia more interesting, even though the country is now at war.
Such a significant increase in the energy consumption of industrial mining sector, with the legalization and transparent regulation of this type of activity, will bring significant positive shifts at the macro level: the growth of highly skilled employment, the development of related industries and further digitalization of the economy .
Mining cryptos in Russia
Reportedly, electricity consumption in Russia in 2021 for Bitcoin (BTC) mining alone was about 1.25 Gigawatts. At the same time, it is worth considering that the volume of electricity consumption for mining other cryptos like Ethereum (ETH) and Litecoin (LTC) can be about 40-50% of the volume of electricity consumption for mining BTC.
The annual increase in electricity consumption for mining since 2017 has always been positive, recording an increase of at least 150% per year.
Meanwhile, the share of electricity consumption in the mining of cryptocurrencies amounts to between 0.64% and 2% of the total in Russia. This is comparable to the share of the country’s agricultural electricity consumption, so the prospects for the development of the crypto market in Russia look very serious and require early legalization of this type of activity.
The growing interest in Bitcoin in general and the surplus of energy resources in multiple Russian regions opens new opportunities for many companies. The country is of course currently at war, which may prevent many investors from investing money in these companies. Of course, this can be a major setback, but it won’t stop local companies from mining anymore. They will have to obtain the necessary funds in another way.
