The Migration Wave of Russian Crypto Miners: Transformation Challenges from Siberia to Moscow

Russia's encryption mining is undergoing a significant transformation, with miners migrating from traditional areas like Siberia and the North Caucasus to major cities such as Moscow. According to data from the B2B electrical equipment platform TenderPro, Moscow and the Moscow region currently account for 21.9% of mining rig demand, far exceeding the 6.7% of Irkutsk Oblast. This geographical shift has brought new issues: noise pollution and regulatory scrutiny in urban areas. Residents of the village of Kirichi, located 260 kilometers southeast of Moscow, have complained about mining farm noise exceeding 50 decibels, and the Federal Consumer Rights Protection Service of Russia has ordered the involved mining farm to suspend operations for 30 days.

Significant Changes in the Geographical Distribution of Mining Rig Demand

According to the latest data from the TenderPro platform, there has been a significant change in the ranking of regions for the demand for cryptocurrency mining rigs in Russia. Moscow and the Moscow region rank first with a share of 21.9%, highlighting the trend of cryptocurrency mining shifting towards urban centers. The traditional Bitcoin mining hub, Irkutsk region, has now fallen to second place, accounting for only 6.7% of the market share. Saint Petersburg and the Leningrad region rank third with 4.7%, while the Krasnodar Krai (located in the southwest of the North Caucasus region) and Kuban (also in the North Caucasus region) occupy the fourth and fifth positions respectively.

The demand for Mining Rigs in the southern region has significantly decreased

TenderPro platform statistics show that in the first eight months of 2025, the overall demand for Mining Rig equipment from commercial enterprises in southern Russia has decreased by 19.3%. Olga Golchitsina, the platform's Director of Digital Product Development, believes that this decline in demand may be attributed to market adjustments. She stated: "A year ago, after the legalization of industrial mining, we saw a sharp increase in demand for encryption mining equipment. However, since the beginning of this year, enthusiasm for the industry has gradually begun to wane."

The Driving Factors Behind Miner Migration

In the past, encryption miners primarily flocked to the North Caucasus and South Siberia regions, mainly attracted by the famous low energy prices in these areas. However, these regions have traditionally had sparse populations, meaning their relatively weak power generation capacity can easily become overloaded. Seasonal bans and police crackdowns on illegal miners in these areas have deterred many industrial miners. Statistics show that miners are now more inclined to set up shop in areas where power shortages are rare and there are few other mining companies.

Urban Mining Farms Face Noise Pollution Challenges

The migration to the more densely populated European region of Russia has brought new challenges for some Russian miners and their international supporters. In the village of Kirichi in the Ryazan region, 260 kilometers southeast of Moscow, a mining company named Integral is facing strong opposition after launching its encryption mining facility. The village has over 3,000 residents, and since the company started its Mining Rig in April this year, the residents have been suffering from high noise levels. The Federal Service for Surveillance on Consumer Rights Protection and Human Wellbeing of the Russian Federation has ordered Integral to suspend operations for 30 days.

Health Concerns Caused by Mining Farm Noise

The agency took action after residents complained that the noise levels from the facility exceeded 50 decibels. Residents of Kirichi village reported that they were suffering from "headaches, hearing loss, and a deterioration in overall health." The Federal Service for Supervision of Consumer Rights Protection in the Russian Federation told Integral that special equipment must be installed to help suppress the noise. The company has brought in "experts from China" who will assist in installing equipment aimed at reducing the noise levels from the Mining Farm.

Gas Turbine Intensifies Noise Problem

According to an August report from "Arguments and Facts", residents claim that the mining facility uses gas piston turbine generators. One resident explained: "Two of the turbines are currently running. But there are plans to install another 20. These two turbines have already created unbearable living conditions for the people here. It's hard to imagine what will happen when there are 22 turbines here." Residents of Kirichi complain that the turbine generators are "no more than 500 meters" from some of their homes. They added that the village has a children's tuberculosis treatment center, where young people come from all over the country for treatment.

Dual Challenges Facing the Mining Industry Transformation

Russian crypto miners are undergoing a transformation from remote areas to urban centers, which brings both opportunities and challenges. On one hand, the power supply in large city areas is relatively stable, and the regulatory environment is clearer; on the other hand, noise pollution in densely populated areas and community relations have become new issues. How to balance mining operations with the quality of life of community residents has become an important topic for miners.

Conclusion

The geographical distribution of the cryptocurrency mining industry in Russia is being reshuffled, with a noticeable trend of shifting from traditional bases in Siberia and the North Caucasus to major urban areas like Moscow. This transformation not only reflects the industry's pursuit of stable power supply and a legitimate operating environment but also reveals new challenges brought about by urbanized mining—noise pollution and community relations management. The future development of the cryptocurrency mining in Russia will depend on whether miners can effectively address these new issues while finding sustainable operating models within the regulatory framework. For global cryptocurrency mining observers, this transition process in Russia offers valuable experience and lessons.