The demand for hardware in traditional Bitcoin mining hotspots is on the decline, while Russian crypto miners in larger urban areas are ramping up their purchases of rigs. However, this shift away from Siberia and the North Caucuses is presenting miners with a new set of challenges, according to reports from media outlets in the nation.
A recent report from the Russian newspaper Vedomosti Yug highlighted the top 10 areas in Russia where demand for crypto mining rigs and related equipment is highest. Topping the list were Moscow and the Moscow Oblast, accounting for 21.9% of mining hardware purchases.
This significant figure for the capital surpassed demand figures in the Siberian oblast of Irkutsk, which only accounted for 6.7% of purchases. Irkutsk, known as the birthplace of the Russian Bitcoin mining industry, has seen a decline in mining activity due to legal restrictions and capacity constraints.
The trend of relocating to urban centers is evident, with St. Petersburg and the Leningrad region taking the third spot with 4.7% of demand. Krasnodar Krai and Kuban in the North Caucasus region rounded out the top five areas for mining equipment purchases.
Overall, demand for mining equipment from commercial enterprises in the Russian South has fallen by 19.3% in the first eight months of 2025. Olga Gorchitsyna, Director of Digital Products Development at TenderPro, attributed this decline to a market correction following the legalization of the crypto mining sector by the Kremlin.
In previous years, miners flocked to regions with low energy prices like the Northern Caucasus and Southern Siberia. However, crackdowns on illegal mining operations and power shortages in these areas have prompted miners to seek locations with more stable power sources and fewer regulatory hurdles.
Moving into more densely populated areas in European Russia has presented new challenges for some miners, particularly in terms of noise pollution. In the village of Kiritsy in the Ryazan Region, a mining firm named Integral faced backlash from residents due to high noise levels from its operations. The federal consumer rights agency, Rospotrebnadzor, ordered the firm to suspend its operations and install noise-suppressing equipment.
Residents complained of health issues due to the noise levels, prompting the agency to intervene. Integral has brought in specialists from China to address the noise concerns and ensure compliance with regulations.
Despite the shift towards urban areas, Russian crypto miners are facing new obstacles as they navigate the complexities of operating in densely populated regions. The challenges of noise pollution and regulatory compliance highlight the evolving landscape of the crypto mining industry in Russia.