At a recent event, President Vladimir Putin stated that Russia had become one of the world leaders in bitcoin mining and has mined 54,000 BTC in 2023 alone.
During the Eastern Economic Forum (EEF) plenary, Putin stated “Russia is today one of the world leaders in mining, and this is due to the surplus of energy capacity in Siberia.”
Putin, however, warned that bitcoin mining in Siberia must not come at the expense of the country’s development.
Emphasizing on this, Putin added, “Mining is good, but the construction of housing, industrial and social facilities, and the supply of electricity to planned production facilities is no less, and perhaps more important”.
Russia has mined around 54,000 BTC during 2023, making over $550 million in taxes to the nation. However, after the recent approval of the cryptocurrency mining law in Russia, these figures are expected to grow exponentially even as new investors are flocking towards this industry.
Russia has growingly showing interest in all things crypto. Recently, Putin approved significant legislation legalizing cryptocurrency mining and gave a green signal to the use of cryptocurrency for international payments. It was a crucial step towards reducing reliance on the U.S. dollar, as the country continues to be surrounded with sanctions from the western world.
The legislation was a U-turn from the country’s previous law that levied a complete ban on cryptos in 2022.
However, Putin has always made it clear that crypto activities must not be hindering the social development of the country, amidst all the destructive repercussions of the Ukraine-Russia war.
Also Read: Russia Begins a Trial of Cross-Border Payment Using Crypto
