A senior Kremlin adviser wants Russian crypto mining to be classified as exports, arguing that tens of thousands of Bitcoins and import payments should be reflected in trade data.
Summary
- Kremlin aide Maxim Oreshkin says mined crypto is effectively flowing abroad and should be registered as an export that affects Russia’s balance of payments and currency market.
- Industry leaders estimate that Russian miners produced about 55,000 BTC in 2023 and about 35,000 BTC in 2024, with a daily income of almost 1 billion rubles.
- Russia’s legal mining regime includes registration and tax rates of up to 25% for companies, but widespread illegal activities and power theft cost the state billions of rubles.
A senior Kremlin official has proposed treating cryptocurrency mining as a form of export in Russia’s official trading accounts, arguing that large amounts of mined digital assets effectively flow abroad even without crossing physical borders.
The Kremlin hopes to mine Bitcoin
Maxim Oreshkin stated that the sector generates significant amounts of money that remain outside formal statistics, despite affecting the foreign exchange market and the balance of payments, reports show.
Russia legalized cryptocurrency mining on November 1, 2024. Oreshkin described the sector as a “new export” that the country “doesn’t appreciate very well,” according to the reports. He argued that because cryptocurrency can be used to pay for imports through alternative channels, these transactions should be counted when the state measures trade flows and currency dynamics.
Industry figures indicate that scale has become material. Oleg Ogienko, CEO of Via Numeri Group, estimated that Russia’s production of proof-of-work assets could reach “tens of thousands” of Bitcoins this year. Sergey Bezdelov, head of the Industrial Mining Association, estimated production at around 55,000 Bitcoins in 2023 and around 35,000 Bitcoins in 2024, citing the network halving as a factor reducing rewards for miners.
According to industry participants, the impact on revenue is also substantial. Mikhail Brezhnev, co-founder of mining supplier 51ASIC, estimated daily mining income across the country at around 1 billion rubles, a figure he linked to Russia’s share of global computing power and the price of Bitcoin (BTC). Brezhnev stated that because mined coins can be used directly to pay import bills, the case for including these flows in official statistics is clear.
Supervisors have implemented supervisory measures. Legal entities and sole proprietorships must register with the Federal Tax Authorities to mine, and hosting providers are listed in a separate register. Domestic miners are only exempt from registration if they consume less than 6,000 kWh per month, although all income must be reported. Corporate mining is taxed at 25 percent, while individuals face progressive rates from 13 to 22 percent; non-residents pay 30 percent.
A recent investigation in the Russian media has revealed that illegal and semi-legal crypto mining costs the country millions of dollars every year through stolen electricity and unpaid taxes. Broadcaster Ren TV reported that many miners are avoiding registering their activities to escape high energy rates and tax obligations, pushing large parts of the industry underground and causing losses of billions of rubles for the state budget.
Although Russia now allows industrial crypto mining and offers registered operators legal status, smaller miners are reportedly refusing to comply. While large companies such as BitRiver and Intelion operate within the legal framework, many independent operators are accused of resorting to meter manipulation, bribery and secret agreements with utilities. As a result, households and legitimate businesses reportedly bear the cost of stolen electricity.
