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Bitcoin Mining Machines Moving to Russia Due to Saturation in US, Despite Sanctions
Russia’s Bitcoin mining market is booming, and hardware providers Bitmain and MicroBT are positioned to profit from the expansion.
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Russia’s Bitcoin Mining Market Is Rising
Russia’s Bitcoin mining market is booming, and hardware providers Bitmain and MicroBT are positioned to profit from the expansion.
Because of its access to inexpensive electricity and frigid temperature, Russia has long been a leader in terms of Bitcoin hash rate. Speaking at Consensus 2023, Ethan Vera, COO at mining services company Luxor Technologies, said that more equipment is entering Russia than any other country in the globe.
As China’s mining industry was outlawed in 2021, Russia’s mining market share increased, making it the second- or third-largest in the world.
There are no restrictions on Russia that entirely forbid participation in the mining industry, despite the fact that international sanctions were put in place as a result of Russia’s invasion of Ukraine in 2022 and ongoing attacks on the nation.
Russian miners have been encouraged to expand their operations by better mining economics, reduced regulatory oversight and taxes compared to the US and other countries, and low energy costs.
Due to these factors, it will be the only nation that can significantly speed up the rise of hashrate, according to a report by mining company Cryptocurrency Mining Group (CMG).
