According to a senior official from the Ministry of Energy, the percentage of the cryptocurrency mining sector in Russia’s energy usage could double by 2022.
Russian Energy Ministry Projects Increase in Electricity Consumption for Crypto Mining
By the end of 2022, the share of cryptocurrency miners in Russia’s overall electricity usage might be between 1.5 and 2%, according to Pavel Snikkars, the deputy energy minister of Russia.
Unused power generating capacities are currently being made available to the cryptocurrency business in some Russian regions; the deputy minister cited Murmansk as an example.
People who are creating digital currencies are also producing issues with rising consumption in some regions with inexpensive electricity since the infrastructure cannot support the rising demand, the expert said.
Pavel Snikkars discussed attempts to control cryptocurrency mining as a commercial activity during the event, expressing the support of his department for the proposed law submitted to the State Duma, the lower house of the Russian parliament, in mid-November.
The Central Bank of Russia and the Duma’s Legal Department still need to approve and evaluate the measure altering the existing statute “On Digital Financial Assets.”
Before this year’s crypto winter and sanctions related to the war in Ukraine hurt Russian mining companies, mining revenue had also been increasing over a period of several years.