According to his statement, crypto mining is going to consume 1.5-2% of the total energy consumption by the end of 2022
Individual mining in areas with weaker power infrastructure is pushing the grid capacities and has to be regulated before it's too late.
If Russia would be able to lure the mining industry towards its new mining haven, it will damage the aspirations of US states, planning to revive their dead economies
Russia’s Deputy Energy Minister Pavel Snikkars shared some insightful details.
According to his statement, crypto mining is going to consume 1.5-2% of the total energy consumption by the end of 2022. This statement from the minister of energy marks a significant growth of crypto mining in the country from last year’s 1%.
Addressing the RBC crypto conference, Pavel Snikkars said that the ministry is willing to offer the unused electricity production grids to the crypto miners depending upon the number of users willing to connect to the grid. The growth of crypto mining is inevitable in Russia and the government is trying to corporate with stakeholders and regulate the space for better facilitation of services.
Russian Energy Ministry is trying to make crypto mining a full-fledged commercial activity, however, the rise in the number of individual crypto miners is becoming a management headache. Individual mining in areas with weaker power infrastructure is pushing the grid capacities and has to be regulated before it's too late. The Russian government’s bill on digital financial assets is already in the lower house and undergoing detailed scrutiny from lawmakers. The law is supposed to pass in the coming months.
After China banned all kinds of crypto operations within its borders, the majority of the crypto miners had to move all the way to the USA to continue mining. This mass migration of mining rigs from China has resulted in the USA replacing China in the total BTC hash rate in no time. But, now Russia is moving forwards with regulating crypto mining as a commercial activity and is willing to provide the resources that miners require for the mining.
If Russia would be able to lure the mining industry towards its new mining haven, it will sternly damage the aspirations of those US states that are planning to revive their dead economies by flourishing cryptocurrencies. If things would go as Russia has planned, we would be able to see another clash of interests between the two giants.
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