Cryptocurrency mining may be banned in Kursk Oblast due to power shortages
Russian authorities are considering a ban on cryptocurrency mining in areas of the Kursk Region bordering Ukraine. They cite the risk of power shortages amid ongoing attacks on energy infrastructure as the reason.
Kursk Region Governor Alexander Khinshtein has submitted a proposal to Russian Energy Minister Sergei Tsivilev.
The ban is proposed for the Belovsky, Velikosoldatsky, Glushkovsky, Korenovsky, Lgovsky, Rylsky, Sudzhansky, and Khomutovsky districts, as well as the city of Lgov.
According to Khinshtein, the risk of uncontrolled mining arose after the cancellation of electricity fees for territories affected by hostilities following the Ukrainian Armed Forces’ invasion in 2024.
Authorities in the Kursk region confirmed the appeal to the federal government and explained that the main goal is “to prevent a potential energy shortage.”
They noted that the problem is linked to constant attacks on the power grid and difficulties in restoring it.
According to sources in the energy market, the issue of banning mining in the region is scheduled to be considered at a meeting of the government commission on electric power development on May 15.
One of the sources said that such a decision could be made either at the initiative of regional authorities or by decision of the Russian Ministry of Energy or the government in the event of a power shortage.
Bitcoin mining difficulty has increased by 14.7%, marking the largest increase in the past five years. Meanwhile, equipment in the U.S. that had previously been shut down due to weather conditions has resumed operations, and the share of U.S. miners in the global hash rate remains close to a historic high.
