Russia Prepares Ban on Crypto Mining in Moscow Region

Russia is preparing to ban cryptocurrency mining in Moscow and surrounding regions until 2032. The proposal, announced by the Russian Energy Ministry, aims to limit energy-intensive digital asset operations in areas facing supply constraints.

The draft government resolution would prohibit digital currency mining from July 1, 2026, through December 31, 2032, in Moscow, the Moscow Region, and parts of the Kursk Region. This measure follows a recommendation by the government's commission on electric power development to protect regional electricity supplies.

The restrictions are necessary due to rapidly growing mining activity, which risks creating year-round electricity shortages by connecting large, power-intensive facilities to regional grids. The ministry warns that existing infrastructure may not be able to accommodate continued expansion without jeopardizing energy security.

Russia has become a leading Bitcoin mining destination thanks to relatively inexpensive electricity and a cold climate that reduces cooling costs. However, mining's growing electricity consumption has brought the industry into conflict with regional power planners. Officials estimate that mining operations currently account for around 1 gigawatt of electricity demand within the Moscow power system.

The proposed ban builds on restrictions already imposed elsewhere in Russia and is part of a broader effort to preserve grid stability while developing a regulated crypto market. If enacted, Moscow and its surrounding region would join a growing list of Russian territories where industrial cryptocurrency mining is prohibited until 2032.