Cryptocurrency

In Russia, <a href="https://ultramining.com/news/en/cryptocurrency-miners-strike-gold-with-record-13-9b-net-profit/" rel="noopener noreferrer nofollow">cryptocurrency miners</a> have been taking advantage of subsidized <a href="https://ultramining.com/news/en/minnesota-man-faces-accusations-of-electricity-theft-for-bitcoin-mining/" rel="noopener noreferrer nofollow">electricity</a> rates, a benefit typically reserved for residential use. This practice has come under scrutiny as authorities crack down on <a href="https://ultramining.com/news/en/abkhazia-intensifies-crackdown-on-illegal-crypto-mining/" rel="noopener noreferrer nofollow">illegal mining</a> operations, particularly in regions like Irkutsk, where energy costs are among the lowest in the country.
The subsidized rates allow miners to operate more profitably, but they have also led to significant stress on local power grids, with some areas experiencing frequent outages. The government’s recent legislation, which allows for the prohibition of mining in specific regions, aims to address these issues by potentially raising electricity rates for miners or banning the activity altogether.
As the Russian government continues to tighten regulations around cryptocurrency mining, the future of subsidized electricity for miners remains uncertain. However, this benefit has been a critical factor in the growth of Russia's mining industry, making the country one of the leading players in the global cryptocurrency market.

Russian Cryptocurrency Miners Benefit from Subsidized Electricity Rates

Ultramining_Eng

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