State-backed crypto mining farm under construction in Buryatia, Russia
The Russian Far East and Arctic Development Corporation (KRDV) announces that a 100 MW data processing center dedicated to minting digital coins will open this year in Buryatia, a Russian republic in south-central Siberia. Quoting a press release from business news portal RCB, it was reported that the project is expected to cost around 900 million rubles (over $12.3 million). The launch of the facility which will host 30,000 miners is set for the first quarter of 2023. Bitriver-B, a subsidiary of Bitriver, also known as Russia’s mining giant, has already begun construction of buildings, other piers and supplies of necessary electrical equipment, and the company says the latest venture will create around 100 jobs or Then 100 will generate employment.
The bitcoin mining farm “Buryatia” is located in the Mukhorshibir village in the Priority Development Area, a region of the republic where a special type of legal regime has been established to facilitate the enterprise’s activities. KRDV is a management company reporting to the Russian Ministry for the Development of the Far East and the Arctic and the Plenipotentiary Representative of the President in the Far Eastern Federal District. Its main task is to provide assistance to investment projects in the Russian Far East and the Arctic.
Dmitry Khmerov, director of KRDV Buryatia, revealed that “Bitriver-B, which forms one of the most important enterprises for the digital development of Buryatia, has been provided with a vast range of government support equipment. These zero in on land and property. There are taxes, which have reduced insurance premiums to 7.6% and the income tax rate has been lowered. The executive further said that Bitcoin Farm will also pay for the electricity it uses at half the regular tariff. The major mining project The announcement was made last week and was made through a report that the total power capacity of Russia’s industrial mining firms is set to exceed 500 MW by the end of 2022, following the crypto market collapse last year and the country’s target sanctions. This mining capability appears to be part of the penalty it will impose on Russia’s invasion of Ukraine.