Russia Bans Bitcoin Mining in Two More Regions Until 2031

• Russia imposes a year-round mining ban in Buryatia and Zabaykalsky Krai until 2031.
• The ban affects 19 districts in Buryatia and 14 municipalities in Zabaykalsky Krai.
• Russia proposes up to 5-year jail terms and fines up to 2M rubles for illegal crypto mining

Russia has extended its cryptocurrency mining crackdown, imposing a full year-round ban on Bitcoin mining across large parts of the Republic of Buryatia and Zabaykalsky Krai. The restrictions came into force on April 1 and will remain in place until March 15, 2031.

The move affects 19 districts and the city of Ulan-Ude in Buryatia, along with 14 municipalities in Zabaykalsky Krai. Both regions previously operated under seasonal restrictions during peak winter months. Those limits are now permanent.

Why These Regions

The Russian government cited growing pressure on regional power grids as the primary reason. Energy demand in both areas has been rising, and mining operations were identified as a significant contributor to grid instability. 

Russia has been expanding regional mining bans since December 2024, bringing the total number of affected regions to 15.

An Illegal Farm That Hit a Uranium Mine

The timing of the ban is not without context. In December 2025, FSB and Ministry of Internal Affairs officers in Zabaykalsky Krai shut down an illegal mining farm operating in the Priargunsky district. 

The farm had been drawing power from a uranium mining enterprise, causing damage estimated at over five million rubles. A criminal case was opened under Russian law for causing property damage on an especially large scale through deception and abuse of trust.

The case illustrated the kind of unregistered, energy-siphoning activity that Moscow is now moving to address through both regional bans and new legislation.

Criminal Penalties Now on the Table

On March 31, a bill was submitted to the State Duma proposing criminal liability for illegal mining. Violators could face fines of up to two million rubles and prison sentences of up to five years, with harsher penalties for organized groups. Offenders who fully compensate for damages may avoid charges.

Out of an estimated 50,000 active mining participants in Russia, only 1,489 have formally registered with tax authorities. The bill is expected to pass this spring, taking effect on July 1.

Legalization Running in Parallel

On March 30, the government approved a separate package of bills aimed at formally legalizing digital currencies, due before the State Duma in early April. Russia appears to be drawing a clear line between regulated participation and everything else.

Related: AI Won’t Kill Bitcoin Mining, Says Analyst Van de Poppe as Hash Rate Stays Strong