Could "mining" of cryptocurrencies wear down the Russian energy system?


The global energy crisis will have, among others, one extremely undesirable consequence for our country. Russia, thanks to relatively low electricity tariffs, has received the dubious honor of becoming one of the global leaders in the so-called "mining" of cryptocurrencies. Why we all don’t need this for free, let's figure it out.


The fact that cryptocurrencies themselves are still a rather poorly studied phenomenon that gives off a persistent spirit of a financial pyramid, we have already said more than once before. The United States of America and China were considered the world leaders in this area. However, faced with the aftermath of the energy crisis, Beijing actually closed the shop in 2021.

The fact is that the so-called "mining" of bitcoins and other cryptocurrencies consumes a lot of electricity, which must first be generated by spending energy resources that have increased in value at times. In May, Inner Mongolia was the first to impose restrictions on the use of electricity for these highly dubious purposes, followed by other Chinese provinces. And in the summer, the State Energy Company of the PRC introduced a direct ban on spending kilowatts on this very "mining". And, probably, she did the right thing. The share of the Celestial Empire in this so-called business "fell from 46% to 0%.

Alas, from Beijing's decision to defend its national the economy now we will suffer too. Miners began to export their energy-intensive equipment to other countries, where tariffs do not bite so hard, and the authorities turn a blind eye to such activities. Among them were the United States and Canada, as well as Russia with neighboring Kazakhstan. Very little time has passed, and now the negative consequences of such a "business migration" have already begun to affect.

Kazakhstan


Problems for Kazakhstan in the energy sector have been outlined for a long time. Since Soviet times, the country has been clearly divided into North and South, where the former is connected by networks with the Russian Urals and Siberia, and the latter with its neighbors in Central Asia. But, as you know, this region has recently faced drought and low water levels, which led to a decrease in the level of generation at hydroelectric power plants. Nur-Sultan closed its only AEMS in Aktau, but has not yet built new ones. More traditional thermal power plants were not put into operation in the proper quantity.

All of this is now superimposed on the problem of "wild miners" attracted by relatively low electricity tariffs. Hundreds of thousands of "mining" devices were transported from China to the country, which allowed Kazakhstan to rise to third place in the world rating for the "mining" of cryptocurrencies. At the same time, it should be borne in mind that such activities are not regulated by law in any way, there are no corresponding OKVED for the tax authorities. But she "eats" an ocean of energy, which has already led to the problem with rolling blackouts due to shortage. Deputy Minister of Energy Kairat Rakhimov, who was appointed to the post only in February 2021, but has now been dismissed, has been appointed "extreme".

Now Nur-Sultan has begun to fight the "miners", introducing restrictions on their activities. It got to the point that Kazakhstan started buying electricity from Russia, now it needs at least 600 MW.

Russia


Let's move on to our country now. Alas, now Russia occupies the rather dubious honorary title of the No.2 cryptocurrency producer in the world, between the United States and Kazakhstan. The first wave of "business migration", if you can call it that, went from China to neighboring Siberia. The Irkutsk region has become a new "Mecca for bitcoiners". The growth in energy consumption there was as much as 159%!

This is not a joke at all.

At first, such activity is not legally regulated in any way not only in Kazakhstan, but also in our country. Naturally, no taxes are paid on such a "business".

Secondly, “miners” who have moved to Russia set up their “farms” wherever they wish, even in a garage or in a private apartment. This leads to a sharp increase in electricity consumption, for which the networks are simply not designed. Residents of the Irkutsk region have already faced power outages on entire streets due to overloads, there are known cases of fires due to overheating of the wiring.

Thirdly, for all this someone will have to pay, and it is clear to whom - ordinary Russians. The fact is that in our country there is a system of cross-subsidization of tariffs, when ordinary consumers pay less, but industrial and other enterprises pay extra for them. So, due to the rapid growth of energy consumption in Siberia, the Irkutsenergosbyt company has already started to seek an increase in tariffs for miners through the courts. Due to the increased debts, the company had to look for an opportunity to shift the costs onto the shoulders of ordinary consumers. The problem is that the legal status of "miners" is not defined anywhere, which was confirmed by Anatoly Aksakov, head of the State Duma's financial market committee:

We are not prohibited from mining, but at the same time, the regulation of this issue has not yet been clearly spelled out.

Apparently, this is just the beginning. The development of the energy crisis will lead to an increase in the migration of "miners" to Russia, where this activity is not suppressed in any way, and the tariffs are relatively low. Even if right now all these "farmers" are tightly tackled, they can move to certain regions of our country, where it is generally not customary to pay for electricity and gas. Then all other Russian consumers will pay for the super profits of cryptocurrency producers.
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  1. gorenina91 Offline gorenina91
    gorenina91 (Irina) 15 December 2021 16: 06
    -4
    Could "mining" of cryptocurrencies wear down the Russian energy system?

    - Ha ... - the topic is very "good" ... - But this topic is a "polyhedron" ...
    - And it should be discussed from all sides ???
    - Here Gorenina already wrote in the topic:

    China's economy prepares for a "hard landing"

    about what ... what ... what:

    - Personally, I am absolutely sure that ... that ... that a "friendly visit" of Chinese Xi to Moscow will take place very soon (or maybe our guarantor will fly to Beijing); after which ...- Russia will "switch" so much electricity to China that in every Chinese village it will become as light as day even at night ...

    - And that was November 5, 2021 ... - Ha ... - only one month has passed and now ....
    - And today China has already crawled with its problem, which Russia should solve ...
    - Well, this is not surprising ... - everything is so - as expected ... - What I personally have already written about ...
    - And what about cryptocurrency ???

    The United States of America and China were considered the world leaders in this area. However, faced with the aftermath of the energy crisis, Beijing effectively closed the shop in 2021.
    Alas, now we will also suffer from Beijing's decision to defend its national economy.

    - But how can it be - who would have thought that such "could happen" ...
    - And here is the same Gorenina in a very recent topic:

    "Maximum pain as soon as possible": Canada told about the likely sanctions against the Russian Federation

    - it turns out too - she wrote something about the fact that China does not need Russia at all to have its own "external payment" or to keep SWIFT for Russia:

    As for SWIFT
    - it is China that keeps Russia on a financial short leash ... - everything is poking around with its yuan-wrapper ... - it is China that needs the docile and financially dependent Russian limitation ... - Was it not Biden who promised China such preferences ... - sanctions against Russia ... (in their behind-the-scenes joint conspiracy) ..
    - And how China does not need it !!! - - "This is it" ... - three more times !!!.
    1. gorenina91 Offline gorenina91
      gorenina91 (Irina) 15 December 2021 16: 13
      -4
      - China doesn’t really need any innovations in any field of activity to "take root" in Russia and begin to benefit ...
      - China needs a stupid, backward undeveloped Russia, which in all its Chinese affairs would fully support it and would continue to obey China in everything !!!
      - This is the "Russian status quo" (status quo) that suits China completely ...
      - And China will make every effort to constantly push Russia into this "status" !!!
      - The author of the topic is my plus ...
  2. gunnerminer Offline gunnerminer
    gunnerminer (gunner miner) 15 December 2021 17: 41
    -6
    Apparently, this is just the beginning. The development of the energy crisis will lead to an increase in the migration of "miners" to Russia, where this activity is not suppressed in any way, and the tariffs are relatively low.

    This is from the same version as the possible migration of Boer farmers from South Africa to Russia, Russian-speaking IT specialists from the EU and the USA, Russian-speaking successful businessmen, crooks craving a financial amnesty.
    1. gorenina91 Offline gorenina91
      gorenina91 (Irina) 15 December 2021 18: 34
      -2
      This is from the same version as the possible migration of drilling farmers from South Africa to Russia, Russian-speaking IT specialists from the EU and from the USA

      - Ha ... - - And there is also an "additional version" - "our" current "- from us" there to them "to send; and" our exes "- from there again to us ...
      - Yes, figs with them - with these "Varangians and Greeks" ...
      - But the author of the article, a certain "Sergei Marzhetsky" - again "took up the old" ...
      - You turn to him with a discussion of his topic; you give an assessment of his opus - and he - "neither sleep nor spirit" ... - And it looks like - that he also gave me a minus ... - Wow ...
      - Obviously - no one wants to be like Sokurov ... - say one thing and keep silent about another ...
      - This is a kind of - a'la "migration of drilling farmers from South Africa to Russia" - the Boers were going on the road - but they did not find anything to gird themselves with ...
      1. gunnerminer Offline gunnerminer
        gunnerminer (gunner miner) 15 December 2021 18: 39
        -5
        This is a kind of - a'la "migration of drilling farmers from South Africa to Russia" - the Boers were going on the road - but they did not find anything to gird themselves with ...

        Correctly noted. The lack of information is easily replaced by demagogic methods. For example, a stormy discussion of the opponent’s personality is imposed on the doctrine “Only Raisa Maksimovna can discuss perestroika.” And the opponent either deceives or divulges a secret ...
      2. Marzhecki Online Marzhecki
        Marzhecki (Sergei) 15 December 2021 20: 19
        0
        If you are talking about the pros and cons, then do not pay attention to it at all. Let who wants to minus, so what?
        The most important thing is the opportunity to express your opinion, and you have it. Personally, I forgot about the minuses in relation to my comments a long time ago, which I advise you too.
  3. Marzhecki Online Marzhecki
    Marzhecki (Sergei) 15 December 2021 19: 46
    -1
    Quote: gorenina91
    - But the author of the article, a certain "Sergei Marzhetsky" - again "took up the old" ...
    - You turn to him with a discussion of his topic; you give an assessment of his opus - and he - "neither sleep nor spirit" ... - And it looks like - that he also gave me a minus ... - Wow ...
    - Obviously - no one wants to be like Sokurov ... - say one thing and keep silent about another ...

    What do you want from me at all, I don't understand?
    Do not like my "opuses", do not read.

    by the way, here is the meaning of the word Opus:

    Opus (Latin opus - "work"):
    A piece of music in the broadest sense - any piece of music
    A work of art that does not have a specific genre, criterion, composition, title, motto, signature, theme or plot
    Opus (music) is a term used to number the works of a composer

    I’m never a musician, by the way, but a very busy person.
    1. gorenina91 Offline gorenina91
      gorenina91 (Irina) 15 December 2021 20: 59
      -2
      I’m never a musician, by the way, but a very busy person.

      - Ha ... - The word "opus" has long been used in a rather "broad sense" of the word ... - Like, for example

      The first is a certain type of piece of music (with numbering). The second - any composition. The second meaning is used in an ironic way ("next opus"). So it is quite applicable in the literature.

      - What do you like more - music; or literature ??? - Hahah ... - Or are you just - "a very busy person" ... - not with a (+) sign; no sign (-) ???
  4. Sergey Latyshev Offline Sergey Latyshev
    Sergey Latyshev (Serge) 15 December 2021 23: 45
    0
    Yeah .... so there was another reason that prices soared up ...

    The miners are to blame. We arrived in Russia and are spending electricity ...
    How many arrived, how many equipment they brought - not a word.
    And that the "right people" have been doing this for a long time - banks, Sberbank, security officials, Kadyrov, etc. - not a word either ...

    As a result, the authorities will again "seek to increase tariffs," and again the devil knows who is to blame ...
  5. Peter Nikolov Offline Peter Nikolov
    Peter Nikolov (Peter Nikolov) 16 December 2021 14: 32
    0
    Here is a technology for generating electricity at a price of $ 0,025. per kWh, which solves both the problems of mining and the production of hydrogen. Interested people can write to reg. email!
  6. ALEXANDER VILYANY (ALEXANDER VILYANY) 19 December 2021 19: 49
    0
    Did the author go to school?
    If they are mining pirate violation of the law or by simple CRIMINAL.
    If they sell something, then they have to pay taxes and buy electricity at different rates.
    and for information: for example, the Sayano Shushenskaya hydroelectric power station operates at 2/3 of the capacity ... there is no place to put electricity ... like many nuclear power plants ...
    IT IS NECESSARY TO CONTROL AND NORMALLY ORGANIZE THE COLLECTION OF TAX