Russia Halts Expansion of Crypto Mining Restrictions Amid Economic Concerns

Russia has unexpectedly paused plans to broaden its crackdown on cryptocurrency mining, opting instead to prioritize economic stability over stricter energy controls. The decision follows concerns about dwindling tax revenues and underutilized energy infrastructure.

During a federal energy commission meeting, authorities rejected or postponed regional proposals for year-round mining bans. Instead, officials are pivoting toward relocating mining operations to energy-rich areas with surplus capacity—particularly those impacted by Western sanctions.

While crypto adoption remains limited in Russia, mining operates legally under specific tax frameworks. Regions like Irkutsk continue grappling with unregulated operations, but nearly a dozen areas—including occupied Ukrainian territories—maintain existing restrictions.