Speaking at the “Future Finance: Challenges and Opportunities” conference organized by Sberbank, Russia’s largest bank, Novikov highlighted the significant growth of the mining industry in the country.
Last year, Russian miners successfully minted cryptocurrencies valued between 5 and 60 billion rubles ($620-740 million), demonstrating the robustness of the mining operations in the country. The mining activities also resulted in a substantial electricity consumption of around 1 gigawatt (GW) during the same period, further emphasizing the scale of the industry’s operations.
Interestingly, Russia has recently claimed the second spot globally in terms of total electricity capacity of digital asset mining facilities, according to data from mining operator Bitriver. This achievement reflects the growing prominence of Russia in the global mining landscape.
In spite of the fact that the Russian government is still wary of completely adopting decentralized cryptocurrencies like Bitcoin and has not yet legalized a large number of enterprises that are related to cryptocurrencies, it appears that there is a favorable attitude toward the mining of cryptocurrencies. Officials in Moscow have indicated a willingness to capitalize on the possibilities offered by the mining industry by expressing their support for mining-related activity.
The cryptocurrency mining industry is well positioned for continued expansion, thanks to Russia’s major contributions to the global cryptocurrency ecosystem and the country’s ongoing expansion of cryptocurrency mining operations. It is anticipated that Russian miners will continue to play a key role in the cryptocurrency industry, adding to the overall economic landscape of the country even as rules continue to develop and the potential for increased government backing grows.
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