One of the main reasons why this is the best location in Russia for crypto miners is the availability of cheap and abundant electricity. Today, with a boom of cryptocurrency all over the world, it is not rare to see firms setting up mining equipment in the most appropriate locations.
Very specific conditions are required to be maintained in order to successfully mine Bitcoins. This include various factors, such as cheap electricity costs, coolants, accessibility of the location, high computation power etc.
A number of firms all across the world are moving towards Russia for setting up their mining equipment. Various opportunities are available in Russia, with a number of territories being classified as favourable for firms to mine Bitcoin. As to why this is the case, you can read on below:
RACIB, the commonly abbreviated form of Russian Association of Blockchain and Cryptocurrency has researched regarding the desirability of Russian regions, best suitable for cryptocurrency mining.
The association was started in order to unite all Blockchain participants along with miners, investors and owners of initial coin offerings (ICOs) and cryptocurrencies. The formation of this association was announced back in August by Herman Klimenko, President’s adviser on Internet issues. In a statement with RBC, the Yuri Pripachkin, association’s president told that:
“The association compared the regions by such parameters as the cost of electricity, the availability of free reserve capacities, logistics accessibility and the development of telecommunications infrastructure.”
According to this research, Krasnoyarsk Territory has scored the best. Krasnoyarsk is termed as the largest territory inside of the Russian Federation as well as second largest federal subject. Its area spans 903,400 square miles or approximately 2,339,700 square kilometres. Krasnoyarsk is the administrative center and also the third largest in Siberia, with a populace of more than 1 million.
Why Karsnoyarsk City is considered as the best location in Russia for Crypto Miners
The electricity cost in this region is around 2.41 rubles per Kw/h. Even though Karsnoyarsk is considered to be the best overall region, it does not have the cheapest electricity rates. Two nearby regions have even cheaper electricity, namely Irkutsk (2.14 rubles) and Khakassia (2.01 rubles)
In terms of telecommunications and logistics capabilities, three cities score the best in this region, which are Divnogorsk, Zheleznogorsk and Krasnoyarsk. Moreover, water from Yenisei River can be used for mining farms in the form of coolant.
Further, the president of the association elaborated that the energy reserves in this Territory are 9,000 MW. The region is termed to be a major distribution and transport center, while also being a transit hub to Siberian Federal District. He further quoted, “Despite favourable conditions, almost no one is engaged in mining in the Krasnoyarsk Territory. The main farms in Russia are located in Leningrad, Moscow, Novosibirsk, Sverdlovsk, Irkutsk,Chelyabinsk, Tomsk and Tatarstan.”
Some other favourable location, suitable for mining conditions consists Nizhyny Novgorod, Samara, Rostov, Sakhalin, Tula, Khanty-Mansiysk Autonomous Okrug and the city of St. Petersburg. Recently, reports came in that the governor of Leningrad region is inviting cryptocurrency miners for setting up mining farm in its newly developed techno park.
Additionally, RACIB exposed that last week about 40 companies from European Union and China have applied in order to set up mining equipment in Russia.