Russia Targets Illegal Crypto Mining With New Registry Plan

• Russia launched a crypto mining registry to track rigs and reduce electricity theft.
• Only 30% of miners registered in Russia. New enforcement measures target the remaining 70%.
• Illegal operations face fines up to 2 million rubles and long-term regional bans.

Russia has launched a national registry of cryptocurrency mining equipment to eliminate illegal mining activity and tax evasion. The initiative came into effect on July 7, 2025, and every miner in the country is mandated to register their rigs and comply with new control measures. The Ministry of Energy developed the registry in coordination with the Federal Tax Service and the Ministry of Digital Development.

Authorities aim to increase accountability among crypto mining operations and reduce unauthorized energy usage. Deputy Energy Minister Petr Konyushenko confirmed the move is designed to “legalize the industry” and reduce cases of energy theft by unregistered miners.  Enforcement will be facilitated through the registry in areas where crypto mining is limited or prohibited.

Russia Targets Tax Compliance and Energy Theft in Mining Sector

The government intends to use the registry to identify individuals and entities consuming electricity for mining. This will help apply targeted taxation and regulation across the growing sector. The Federal Tax Service previously reported that only 30% of mining businesses had registered since the introduction of crypto-related laws in late 2024. Officials are working to bring the remaining miners into legal compliance.

The government monitors mining hardware and power consumption to avoid abuse of the national energy grid. These crypto mining activities have exerted pressure on the region, leading to the prohibition in 10 Russian regions. As reported by state media outlet TASS, these limits will continue until March 2031 to prevent blackouts. The registry also supports enforcement of these regional bans.

Local police have already discovered unauthorized mining setups in various areas. On June 14, officials in Pribaikalsky dismantled a mining operation hidden in a truck drawing illegal electricity from a nearby village. A few days later, authorities in Bataysk shut down another site operating from a garage.

Fines for Illegal Mining Expected to Increase Sharply

The Ministry of Digital Development is working on new legislation to increase penalties for illegal mining. As of June, proposals suggested raising fines from 200,000 rubles ($2,534) to 2 million rubles ($25,500). The increased penalties will discourage illegal arrangements and promote compliance with registry provisions.

The national database will also serve environmental monitoring. By monitoring energy consumption, the government can determine which operations consume the most energy and encourage sustainable crypto mining practices. This may include promoting renewable energy sources or enforcing usage caps for high-load operations.

The registry is also intended to support long-term planning and policy decisions. With accurate data, authorities can adjust energy allocation and tax strategies to balance economic development with infrastructure stability. The government sees this system as a step toward aligning crypto mining with broader industrial norms.

Related: IMF Rejects Pakistan’s 2000MW Bitcoin Mining Plan: Report

New Regulations Reshape Russia’s Crypto Mining Landscape

Russia’s move to adopt tougher oversight is a milestone in Russian miners’ operations. The new regulations will normalize the use of mining hardware and assist the authorities in tracking the owner and the activity. The registry gives regulators more management tools to oversee the industry and close enforcement gaps.

This move follows broader efforts to formalize the crypto sector in Russia. Since November 2024, new laws have defined mining businesses and introduced registration protocols. When combined with the registry, these frameworks will transform the way miners conduct their businesses, making the industry more transparent.

As Russia makes these moves, the local crypto-mining landscape can become more attractive to institutional miners. Establishing the legal framework may stimulate a potential investment as long as miners are able to comply with the government’s existing legislation and technical requirements.

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