Russian Crypto Mining Industry Could Be Set for $4Bn Boost
The Russian crypto mining industry could be set for a $4 billion boost, representatives claimed at a media event in Irkutsk, Siberia.
Per the media outlet SIA, however, the sector cannot expand if Moscow approves plans to impose prohibitive new tariffs on crypto miners.
The head of the Russian Industrial Mining Association (IPM), Sergei Bezdelov, told reporters at the event:
“We are ready to invest about $4 billion in the further development of new data centers.”
Bezdelov claimed that these centers would not only mine crypto, but also potentially aid the government further its new Data Economy project.
The project is the brainchild of the Ministry of Digital Development. And Bezdelov said Russian industrial miners were “ready to provide it with space” in new and existing data centers.
He said miners would also help Moscow with “energy capacity and personnel for maintenance.” Bezdelov added:
“According to our preliminary estimates, this will help save the government $32.4 million. Building data centers is a very expensive undertaking. Not to mention the need to import equipment that Russian firms may find it difficult to buy [due to sanctions regimes].”
The IPM appears to believe this could be a sweetener as miners look to convince Moscow to ditch plans to hike their energy tariffs.
The Ministry of Energy thinks increasing tariffs for crypto miners will help reduce the load on grids.
This is a particular worry in Irkutsk. The oblast has become the de facto capital of the Russian crypto mining industry.
The ministry thinks higher energy prices will deter new miners from setting up shop. It also hopes to dissuade larger players from scaling up their operations.
Sergei Sasim, Director of the Center for Research in the Electric Power
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