Russia: Electricity Costs Subsidised by Project to Cryptocurrency Miners

The launching of a pilot project is on its way in Russia that will be aimed at the subsidisation of electricity costs to the farm owners of cryptocurrency mining, as per a local publication. At the same time, the interest in ether, bitcoin, and mining is growing at a significant pace this year.

The IRI (Institute of Internet Development) along with RABIK (Russian Association of Blockchain and Cryptocurrency) are working together on the pilot project as per the reports. The project is intended to subsidize the electricity costs that are related to the cryptocurrency mining. Arseny Shcheltsin, the Director of IRI project activities stated to the daily newspaper “Izvestiya” that the farm owners of cryptocurrency mining would be receiving discounts on the electricity. However, he did not make any disclosure about the exact location of the given project.

Both the organizations have reportedly claimed to the publication that in addition to the cryptocurrency’s legalisation in Russia, it is important that the most favorable conditions for the cryptocurrency mining workers are also created.

The goals of IRI are completely focused towards the operation and development of the modern technological advancements in Russia. Moreover, RABIK has also been created to bring about the unison of the participants of the Blockchain technologies along with the cryptocurrencies owners. This would include the project investors of ICO as well as the cryptocurrency miners. The creation of RABIK had been announced by the end of August by the Internet Advisor of Vladimir Putin; Herman Klimenko.

The interest in mining of cryptocurrency has been rapidly increasing in Russia. At the same time, the interest of the cryptocurrencies like ether and Bitcoin are growing substantially as well. It was recently reported that a company that was co-owned by Putin’s another advisor has been working on some large-scale mining of the bitcoin in Russia. During this time, the government in Russia is discussing ways to start its own mining centers of cryptocurrency.

The largest farm of cryptocurrency in Russia uses an average of 3240 mW or 4.5 mWh per month. The price of 1 kWh as per the region ranges from 2-5.3 rubles.