Disclaimer: Information found on CryptoreNews is those of writers quoted. It does not represent the opinions of CryptoreNews on whether to sell, buy or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk.
CryptoreNews covers fintech, blockchain and Bitcoin bringing you the latest crypto news and analyses on the future of money.
Illegal miners in the Russian Bitcoin mining hub of Ingushetia stole approximately $4.3 million worth of electricity in the first half of 2025, according to state-controlled power firm Rosseti.
Per an official press release from Rosseti North Caucasus, illegal miners accounted for over 94% of all electrical power stolen in the republic during the first half of the year.
Illegal Miners in Russian BTC Hub ‘Stole 35.4M kWh’
The firm stated that the total volume of unaccounted consumption in the republic during the same period was 37.5 million kWh. This power was valued at over $4.4 million, Rosseti added.
The Russian republic of Ingushetia. (Source: Timur Ziev [CC BY-SA 3.0])
However, almost all of this loss was attributable to illegal crypto miners, the power provider said. These miners stole 35.4 million kWh from the grid.
The firm noted that the lion’s share of the stolen power came from four large “illegal mining farms.” The provider suggested it had shut down all four facilities and added that it had seized 450 mining rigs from the sites.
In the first half of the year, the republic’s power firm, Ingushenergo, reported that its specialists identified 177 cases of illegal electricity use.
Providers Use Drones to Hunt Illegal Miners
Crypto mining is illegal during the winter months in Ingushetia until March 15, 2031. It has also been banned in neighboring North Caucasus republics.
Related Posts
Nevertheless, Bitcoin mining remains popular throughout the region and has been blamed for a series of power outages in Ingushetia.
In nearby Abkhazia, observers say entire villages now “buzz” with the sound of whirring crypto mining hardware.
In February, Ingushetia power engineers warned that illegal crypto mining was leading to a “high risk of accidents and power outages.”
Why did Russian mega earthquake not cause more tsunami damage? https://t.co/3bjVoCMuNH
— BBC News (UK) (@BBCNews) July 30, 2025
In Dagestan, energy providers have responded by offering their staff bonuses for discovering underground crypto mining farms.
Russian power providers have also rolled out new IT systems to help them hunt illegal miners. These include drones fitted with thermal imaging cameras.
Bitcoin Focus
Russian law stipulates that firms and individuals can mine crypto without informing the tax authorities if they use less than 6,000 kWh of power per month.
However, industrial miners who do not register with the Federal Tax Service will likely face criminal punishment under new proposals.
Around 90% of industrial crypto miners focus their efforts on Bitcoin (BTC) in Russia, according to domestic industry chiefs.
The post Illegal Miners in Russian Bitcoin Mining Hub Stole $4.3M Worth of Electricity in H1 2025 appeared first on Cryptonews.
