Russia faces the possibility of losing its position among the leading cryptocurrency mining nations., 2026/05/05 09:20:11

Russia currently maintains its second position in the global ranking of countries by Bitcoin hash rate share, but operators of industrial mining surveyed by “Kommersant” express concerns that it may drop in the rankings within the next year.

The gap between Russia and China, which holds the third position, has already narrowed significantly. The appeal of cryptocurrency mining in Russia is diminishing amid “unfavorable economic conditions,” the newspaper reports. 

According to last year’s results, the share of Russian mining in the global market remained at 15.5%, as reported by the industrial mining operator Promminer. The Association of Industrial Mining clarifies that at the beginning of the year, the figure fluctuated between 13% and 17% depending on the assessment methodology. 

China’s share is approximately 14% of the global hash rate.

Experts from “Ъ” identified several reasons for the declining attractiveness of mining in Russia: the drop in Bitcoin’s price and the strengthening of the ruble. Miners’ revenues are denominated in Bitcoin, but when the cryptocurrency is converted into rubles, a stronger ruble results in lower overall profits.

Another significant factor is the increase in electricity costs. The average global price for 1 kWh in mining is 2.5–3 rubles. However, in Russia, when legally connected to the grid, it exceeds 5 rubles. This encourages a shift of capacities to jurisdictions with more favorable conditions. Additionally, the market is influenced by the promised “take or pay” principle from the Ministry of Finance, which suggests payment for electricity transmission services based on declared maximum capacity rather than actual consumption. This could lead to substantial economic losses for miners, as reported by sources to “Ъ”.

Promminer has observed a decrease in the number of small and medium investors in mining, partly due to the reduced efficiency of mining equipment.

According to the Ministry of Energy, the installed capacity of Russian mining is between 2.3 and 2.7 GW, accounting for about 1.5% of the country’s total electricity consumption. Meanwhile, the difficulty of the Bitcoin network globally is not increasing, and the decline in activity in Russia, according to “Ъ” sources, is more related to economic factors (exchange rates, high-interest loans) than to a loss of attractiveness in cryptocurrency mining itself.

Experts from “Ъ” explain that previously, miners in Russia focused on acquiring the most cost-effective rather than the newest equipment. Currently, this equipment has become outdated and does not ensure profitability. As a result, miners are considering relocating their capacities to other countries.

For comparison, at the current Bitcoin price and network difficulty, a rate above 6 rubles per kWh makes mining with average energy-efficient equipment barely profitable. Conversely, owners of the latest generation ASICs maintain a good margin even during BTC price drops at a rate of 5 rubles or lower.

Promminer indicated that mining at sites with underutilized electricity generation facilities would be advantageous.

Previously, the mining company “Algorithm” conducted a study revealing that in the next two to three years, the model of continuous operation of mining farms connected to the power grid will become economically unfeasible in Russia. Due to rising energy costs, Russia is already “losing competition to large American companies,” the study’s authors concluded.