The Russian Bitcoin mining industry has been thriving, with industrial players in the country mining BTC 54,000, which is worth around $3 billion. Sergey Bezdelov, the head of the Industrial Mining Association, revealed this information at a crypto mining-related session at the Eastern Economic Forum in Vladivostok. He also mentioned that the industrial crypto mining sector is expected to contribute an additional 50 billion rubles ($559 million) in tax revenue to the Russian Treasury annually. Bezdelov noted that big businesses supporting industrial miners are likely to bring in new investments, allowing for the expansion of data centers and purchase of new equipment.
In line with the growth of the Russian Bitcoin mining industry, new regulations have been rolled out. As of September 2nd, all crypto mining players in Russia must register their operations with a central regulatory body and start paying taxes on their earnings by the end of the financial year. The specifics of how miners will be taxed are yet to be determined, but the Central Bank aims to ensure miners sell their coins for fiat currency immediately to prevent holding them in crypto wallets.
From November this year, legal entities and individual entrepreneurs included in a register managed by the Ministry of Digital Development will be permitted to engage in mining activities. Private Russian Bitcoin miners can also continue their operations as long as they adhere to new electricity usage quotas. Despite the opportunity to mine various cryptocurrencies, the majority of industrial Russian miners concentrate their efforts on Bitcoin, with a few opting for Ethereum and high-cap altcoins like Litecoin.
Earlier this year, Bezdelov predicted a potential $4 billion increase in the Russian Bitcoin mining industry. He cautioned against imposing excessively high tariffs on crypto miners, which could hinder the growth of the sector. The influx of new investors and infrastructure investments is expected to not only boost the profits of industrial miners but also improve job opportunities and wages within the sector. This positive outlook for the Russian Bitcoin mining industry indicates a promising future ahead with potential for further growth and development in the coming years.
