Russia has banned cryptocurrency mining in its capital and surrounding regions, with Prime Minister Mikhail Mishustin signing a decree that takes effect immediately and lasts until the end of 2032.
Decree No. 936, signed on July 25 and published on the official legal information portal Pravo.ru, extends the mining ban to Moscow, Moscow Oblast, and several districts within Kursk Oblast. The restrictions target areas where mining operations consume over one gigawatt of electricity, a load the regional grid cannot sustain.
Grid Pressure Drives Unprecedented Ban
The Russian Ministry of Energy estimates that 65 data centers in the broader Moscow area are connected to the grid, with a combined capacity of 734 megawatts. Of those, 19 data centers sit within Moscow Oblast alone, representing 233 MW of capacity. The ministry first requested the ban in April 2026, warning of rising electricity demand and insufficient economic benefits from mining activity.
The decree explicitly states that restrictions are introduced “to stabilize the energy system and prevent capacity shortages in the affected regions.” The ban extends far beyond equipment lifecycle expectations, signaling a long-term policy shift rather than a temporary measure.
Affecting 17% of Global Hash Rate
According to industry data, the newly restricted areas account for approximately 17.2% of global Bitcoin hash rate, making this one of the most significant mining bans since China’s crackdown in 2021. Russia currently holds the second-largest share of global hash rate after the United States at 36.7%.
The ban follows earlier restrictions introduced on January 1, 2026, which targeted ten regions including Dagestan, Chechnya, and North Ossetia. Previous estimates suggest those bans already impacted roughly 50,000 Russian miners, driving capacity toward the United States and Central Asia.
Miners Face Costly Relocation
Operators now face a narrow compliance window. Large mining firms may pivot to Siberia or other regions with cheap hydroelectric power, but relocation costs including transport, ventilation infrastructure, and new electricity contracts are substantial. Smaller operators may not survive the transition. Participation in mining pools is also banned in the restricted zones, affecting even miners located outside the areas.
Restrictions are introduced until the end of 2032 to stabilize the energy system and prevent capacity shortages in the affected regions. Source: Decree No. 936 of July 25, 2026
The crackdown coincides with the criminal case against BitRiver founder Igor Runets, who was transferred from house arrest to pretrial detention on July 30 on fraud charges related to an En+ conglomerate contract worth approximately $12.5 million. The coordination between judicial authorities and the energy sector underscores the Kremlin’s willingness to strike hard at the mining industry.
Sources: Pravo.ru (Russian legal portal); CoinTribune; CoinTelegraph; TASS
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