Russia's demand for video playing cards used for cryptocurrency mining has elevated considerably this 12 months as crypto costs have elevated and low electrical energy charges in some areas have pushed unlawful coin mining actions.
Based on observers interviewed by native press, the monetary losses attributable to this phenomenon this 12 months are anticipated to exceed 10 billion rubles in damages registered by Russian authorities in 2024.
Video playing cards hunted for mining, gaming and AI
The rising enlargement of unlawful mining in Russia was revealed by a surge in gross sales of graphics processing models (GPUs). Additionally it is generally known as a video card. These are sometimes utilized in rig varieties that Russians set up in basements or garages, or they’re hidden close to currents to make use of the grid free of charge.
The so-called “black mining” is without doubt one of the most typical crypto crimes within the nation, with many areas struggling to cope with the implications, Russia's Day by day Izvestia wrote in an article revealed Friday.
Utilizing “black miners” who created stolen vitality and a few Russian subsidies, “Gray Minor” wants robust ideas. Because of this, their gross sales virtually tripled within the first half of 2025, the newspaper stated.
M.Video-Eldorado, a number one Russian shopper digital retailer, stated that demand for GPUs in shops elevated by 233% by way of revenues and models offered throughout that interval. The corporate can be a number one e-commerce operator, so Spikes are attributed to rising curiosity in gaming and AI purposes.
Miners have contributed equally, and IT specialist Daniil Arzhakov is satisfied. He famous that the stronger Russian ruble made higher efficiency and environment friendly video playing cards cheaper and extra accessible within the home market.
Excessive GPU demand seen as an indication of unlawful mining
Based on Vadim Kovalenko, an teacher within the esports division at Synergy College, the rise in graphics card gross sales signifies a rise in unlawful mining. He warned that this pattern might trigger an vitality disaster and escalate the scale of suspicious companies.
He fears that except Russia controls the scenario, it could be following within the footsteps of nations like Iran and Kazakhstan. They condemned the unlawful mining of energy outages and breakdowns in each nations earlier than authorities took steps to curb their actions.
Kovalenko defined intimately:
“With out guidelines – established tariffs, authorities management, preventing theft – we count on a rise in blackouts and legal mining.”
And the Russian authorities has labored in that route, each on the federal and native ranges. Mining is at present prohibited in round 12 areas, from Siberia to occupied Ukraine. The North Caucasus is booming with unlawful mining in Dagestan, Ingshechia and Karachey Cerkesia.
The ban on coin mining in knowledge facilities is being superior in Congress to order AI improvement capabilities, and can be contemplating proposals to remotely reduce authorized crypto farms from the grid to restrict peak consumption.
Igor Bederov, founding father of the Russian firm Web Search, commented:
“Black mining is a horny exercise in lots of elements of the Russian Federation. The Caucasus stays a pacesetter within the variety of black miners, that’s, these engaged within the theft of electrical energy.”
The injury attributable to unlawful mining amenities final 12 months reached round 10 billion rubles (over $125 million), in accordance with analysts on the Stolypin Institute for Development. They haven’t but revealed estimates for this 12 months, and the losses might exceed earlier totals.
Russia legalized the mining of cryptocurrencies like Bitcoin in 2024. Corporations and particular person entrepreneurs working on this sector should register with the Russian tax authorities.
People can mine with out registration in the event that they use lower than 6,000 kWh of energy per 30 days. Failure to register once they exceed that restrict will end in giant fines and coin forfeitures instantly.
