Russia has expanded its cryptocurrency mining restrictions to include Moscow, the surrounding Moscow Region, and parts of Kursk Region, further reducing mining operations in one of the largest Bitcoin centers worldwide. The decree was published on the Russian government’s legal information portal and comes as the Bitcoin network already faces signs of slowing activity.
Impact on global Bitcoin mining
Russia plays a crucial role in the global cryptocurrency mining sector. According to Hashrate Index’s Q3 2026 heatmap, the country accounts for 17.2% of the world’s Bitcoin hash rate, second only to the United States. With every new regulation, more mining power may be diverted to other regions.
For the last two quarters, the total Bitcoin network hash rate has fallen, reaching a level almost 12% below the peak recorded in December 2025. This shift highlights the changes within the global industry as Russia’s restrictions reshape the distribution of mining power worldwide.
| Country/Region | Estimated Hash Rate Share (Q3 2026) |
|---|---|
| United States | 36.7% |
| Russia | 17.2% |
| Others | 46.1% |
Details of the Moscow mining ban
The new mining restrictions will be implemented from August 15 and are set to continue through the end of 2032. Covering Moscow, Moscow Region, and districts within Kursk Region, the rules aim to control electricity consumption by large-scale miners.
Russia’s Ministry of Energy argued that mining facilities’ significant electricity usage could impact the stability of the nation’s power grid and compromise access for other consumers. The Ministry noted in its explanatory note that curbing mining is needed to ensure the supply of energy in the face of accelerating demand from data centers.
Authorities emphasized that limiting crypto mining is necessary to maintain reliable electricity supply as demand from data centers rises sharply.
As reported by the Russian news agency TASS, Moscow and its surroundings currently house 65 data centers with a combined capacity of 734 megawatts. Of these, 19 data centers totaling 233 megawatts are within the Moscow Region. Initially, authorities planned to enforce the mining prohibition on July 1, but rescheduled the start to mid-August.
Shifting hash rate and new mining destinations
Russia’s position in the crypto mining landscape adds weight to the significance of the new restrictions. Hashrate Index data shows the country’s hash rate is around 162 exahashes per second. Kommersant newspaper estimates place Russia’s global mining share at 15.5% for 2025, while the Association of Industrial Mining reports a range of 13–17% depending on methodology.
Earlier studies, including reports by the Cambridge Centre for Alternative Finance, have presented lower figures, underlining the challenge of precisely measuring mining activities within Russia.
Local information indicates financial pressures on Russian miners have increased, even before the latest restrictions. Kommersant stated that connection fees to the power grid now exceed five rubles per kilowatt-hour, well above global averages. This raises operating costs, particularly for small-scale miners, making profitability difficult.
The impact of Russia’s new mining ban likely extends beyond its borders. Previous restrictions reportedly affected about 50,000 operators across 13 Russian regions, pushing much of the mining capacity toward the United States and Central Asia, including Kazakhstan.
BitRiver, one of Russia’s leading mining firms, is among those hit hardest due to its reliance on low-cost Siberian electricity.
A reduction in Russian mining activity can temporarily decrease Bitcoin network difficulty, which could improve profitability for global miners until the automatic network adjustment takes place. However, with Bitcoin trading below its December 2025 highs, only the most efficient operations are expected to benefit, while outdated facilities may close down.
Mini dictionary: BitRiver is a major Russian Bitcoin mining company, known for operating large-scale mining farms using low-cost hydroelectric power from Siberia.
Wider context of Russian mining policy
The measures in Moscow are the latest phase of Russia’s broader move against cryptocurrency mining. On January 1, 2026, authorities introduced a one-year mining ban covering ten regions, including Dagestan, Chechnya, North Ossetia, as well as Donetsk, Luhansk, Zaporizhzhia, and Kherson. These restrictions have also been implemented in Buryatia and Trans-Baikal Territory, with the possibility of more regions adopting similar bans if requested by local governments.
Officials shifted focus from financial policy to energy limitations, reflecting the pressure mining places on regional power infrastructure.
This policy marks a significant shift for Russia, which had only legalized crypto mining in August 2024, despite previously advocating the use of digital assets for cross-border payments amid Western sanctions. The latest developments signal that energy supply concerns are now at the forefront of policymaking for the industry’s future in the country.
