Bitcoin Mining Shifts Toward Russia Amid Higher EU Carbon Prices

A study suggests that higher European Union carbon prices may lead to more Bitcoin mining activity in Russia.

The researchers analyzed daily data from January 2019 to January 2026 and found a significant link between Bitcoin returns, EU carbon allowance returns, and Russian power sector emissions.

This relationship became stronger when both Bitcoin returns and EU carbon allowance returns rose together, particularly after 2020. The study notes that Russia's lack of an EU-style carbon pricing system may make it an attractive destination for miners seeking lower costs.

However, the researchers emphasize that their findings do not prove physical equipment was moved from Europe to Russia, but rather suggest miners may switch machines on or off depending on which location offers better returns.