Rosseti to Start Crypto Mining in Russia

Rosseti, Russia’s largest energy provider, is set to enter the cryptocurrency mining sector by allowing select power supply centers to collaborate with Bitcoin mining companies. According to TASS, a Russian state-run news agency, Rosseti aims to position itself as an “operator for hosting mining infrastructure.”

This marks a significant shift for the company, which has previously focused on cracking down on illegal and unregulated mining operations across the country. Rosseti now plans to concentrate on underutilized power supply centers, aiming to optimize their capacity through crypto mining.

The company’s interest in cryptocurrency mining aligns with its goal of maximizing the use of idle energy resources. Rosseti has emphasized that this initiative will not only increase the load on underused power centers but also boost its tariff revenue. Additionally, the firm believes that embracing crypto mining will contribute to the development of the Russian economy and enhance tax revenues.

This move follows reports from the media outlet Kommersant, which revealed that Rosseti’s head, Andrei Ryumin, had sent a letter to Russian Prime Minister Mikhail Mishustin seeking official approval to coordinate the placement of mining centers across Russian regions.

Rosseti is also exploring various incentives to encourage power centers with low utilization rates to participate in crypto mining. These incentives could include specialized tariffs tailored to the needs of mining operations.

The company has highlighted its ability to monitor and control electricity consumption, ensuring that the integration of mining activities does not compromise the reliability of power supply to Russian regions. By leveraging operational data on available capacity, Rosseti aims to balance the demands of crypto mining with the broader energy needs of the country.

This development comes as Russia continues to explore the potential of cryptocurrency mining. Last year, Gazprom, another state-owned energy giant, introduced a crypto mining subsidy and is reportedly constructing a large-scale Bitcoin mining facility in Velikiy Novgorod.

Rosseti’s entry into the sector signals a growing trend among Russian energy providers to capitalize on the crypto mining industry, utilizing spare energy capacity to generate additional revenue and support economic growth. As the company moves forward with its plans, it remains to be seen how this initiative will shape the future of crypto mining in Russia.