The Bitcoin mining industry in Russia is experiencing rapid growth, and hardware suppliers Bitmain and MicroBT are well-positioned to benefit from it.
Russia has traditionally been the leader in terms of Bitcoin hash rate due to its easy access to cheap electricity and chilly climate. Ethan Vera, COO of mining services provider Luxor Technologies, stated during a presentation at Consensus 2023 that more equipment is entering Russia than any other nation on the planet.
Russia’s mining market share expanded after China’s mining industry was prohibited in 2021, making it the second- or third-largest in the world.
Despite the international sanctions that were placed in place as a result of Russia’s invasion of Ukraine in 2022 and subsequent attacks on the country, there are no limits on Russia that completely prevent participation in the mining business.
Better mining economics, less onerous regulations and taxes relative to the US and other nations, and low energy prices have all encouraged Russian miners to grow their operations.
According to a report by mining company Cryptocurrency Mining Group (CMG), it will be the only country that can considerably accelerate the development of hashrate as a result of these variables.
