Sverdlovsk region authorities attract mining companies to build a DPC

The total amount of investments in the project may exceed 1 billion RUB

02.12.2022 - 14:45

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What’s new? The authorities of the Sverdlovsk region are negotiating with miners to attract investments in the project to build a data processing center (DPC), in which part of the electricity will be used for cryptocurrency mining. TASS reports, citing the deputy governor of the region Dmitry Ionin.

News on the TASS website

Details about the initiative. The official noted that there is a surplus of electricity in a number of places in the region. According to Ionin, the authorities have already held talks with three leading players in the Russian market, including BitRiver. Since investments in the project may exceed 1 billion Russian rubles (RUB), only cooperation with large companies is considered. The main subject of the negotiations was the price of electricity.

Ionin stressed that the construction of DPCs leaves a portion of unfilled capacity, which can be used for cryptocurrency mining. However, despite this surplus, the financial model that potential investors are considering is on the verge of paying off.

In June, BitRiver partnered with Gazprom Neft to mine cryptocurrencies using associated petroleum gas. In September, the company entered into a partnership with “Yakutsk Electric Grid Company” to build a data center in the Mirninsky district

On November 17, the draft law was submitted to the State Duma of the Russian Federation that suggests allowing the sale of mined cryptocurrency both on foreign platforms and in Russia — through a special platform to be created under the law on experimental digital regimes. When selling crypto assets, it will be necessary to notify the Federal Taxation Service. In addition, the Central Bank supported the draft law on the regulation of mining, prepared with its participation.

For more details on crypto regulation in Russia, see GetBlock Magazine’s article.

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