Russia Declares Bitcoin Mining Leadership, New Law Set to Attract More Investors

President Vladimir Putin has declared Russia a leading country in bitcoin mining, attributing this success to the nation's surplus energy resources

Russian President Vladimir Putin has stated that Russia is the leading country in bitcoin mining due to its surplus energy resources, particularly in Siberia. Speaking at the Eastern Economic Forum (EEF), Putin highlighted how Russia’s energy abundance has positioned it at the forefront of the global bitcoin mining industry.

Putin's statement comes as no surprise, given that Russia has vast energy resources, especially in Siberia, which are crucial for bitcoin mining. In 2023, Russia is estimated to have mined 54,000 BTC (Bitcoin), which is valued at over $550 million. This revenue is taxed by the government, contributing to the state budget.

However, Putin also emphasized that while bitcoin mining is an important industry, it should not be the sole focus of Russia's energy utilization. He pointed out that the country has other priorities, such as commercializing oil resources and ensuring that mining does not hinder these endeavors.

According to Sergey Bezdelov of the Industrial Mining Association, with the new law in place, we can expect to see new figures emerging soon. The new cryptocurrency law is anticipated to attract more investors to the mining sector in Russia, ultimately increasing the production of bitcoin.

Russia's Energy Minister, Sergei Tsiviliev, concurred with Putin's statements, stating that while excess energy can be allocated to legal bitcoin mines, the country prioritizes social welfare and industrialization. Tsivilev highlighted the importance of energy efficiency for continuous progress toward essential social and economic achievements in Russia.

These statements by Putin, and broader Russian policy on foreign investment in their oil and gas resources, should be understood within a framework of a double move: on the bitcoin level, to harness and capitalize on these resources for development and, on the other hand, ensuring that mining does not take away from other forms of development. The substantial generation of bitcoins and the impact on tax revenues demonstrate a growing authority within the global cryptocurrency market.

The above is the detailed content of Russia Declares Bitcoin Mining Leadership, New Law Set to Attract More Investors. For more information, please follow other related articles on the PHP Chinese website!