The expansion of cryptocurrency mining has reached a point where it is influencing the Russian currency market and should be incorporated into its balance of payments, according to a representative from the Kremlin. This sector has emerged as Russia’s “hidden export” and is currently undervalued, stated a member of President Putin’s team, highlighting the growing importance of the mining industry for the nation’s economy.
Russia is Underrating Crypto Flows Related to Mining
Underestimated financial flows stemming from the mining of digital currency are contributing to incorrect forecasts for the exchange rate of the Russian ruble. This assertion was made by Maxim Oreshkin, Deputy Chief of Staff of the Presidential Executive Office.
Oreshkin shared this observation during the “Russia Calling!” international investment forum, which took place this week in the Russian capital. He was specifically asked to comment on the reasons behind the recent difficulty in predicting the movements of the national fiat currency.
The aide to President Vladimir Putin emphasized the importance of considering how cash flows within the Russian economy have evolved over the past few years.
He further suggested that crypto mining has become a significant new component of Russian exports, consequently impacting the country's currency market, as reported by the business news outlet RBC.
Quoted by Interfax and the official TASS news agency, the former minister of economic development elaborated on this point:
We have a new export item, an undervalued one, and that is cryptocurrency mining.
Oreshkin underscored that the financial volumes generated by the mining sector are already substantial enough to be characterized as a “hidden export.”
He further noted that while currency supply remains constant, imports can now be settled using cryptocurrency, which also has an effect on the Russian currency market.
Oreshkin stated that cryptocurrency mining, as a supply chain, ought to be accounted for in Russia’s balance of payments, indicating that the Bank of Russia is responsible for this task.
I haven’t yet seen such estimates from the central bank. I know that work is underway in this area, but this is something we also need to factor into the balance of payments.
The high-ranking representative of the Kremlin concluded that the sector remains relatively unnoticed because its financial flows occur outside of conventional channels.
Mining is Regulated but Still Largely Unregistered
Russia legalized the minting of digital coins last year, recognizing it as a legitimate business activity, which has led to significant growth in the industry.
To legally participate in the country's first regulated crypto activity, companies and individual entrepreneurs are required to register with the federal tax authority.
However, according to the government's own estimates, less than a third of active mining enterprises have completed this registration process so far.
An advisor to the Russian parliament on crypto regulation recently advocated for an amnesty that could encourage more crypto miners to emerge from the shadow economy.
In the absence of specific rules governing domestic exchange, a substantial portion of mined cryptocurrency is likely traded on foreign platforms. However, authorities in Moscow now aim to properly regulate this space.
An experimental legal regime (ELR) established earlier this year permits Russian firms to utilize cryptocurrencies in foreign trade, though access to crypto assets remains limited.
Softening its long-standing stance against the circulation of cryptocurrencies within the country’s economy, the Bank of Russia recently indicated its readiness to broaden investor access to crypto and urged the adoption of the necessary legislation in 2026.
The monetary authority also made it clear that it intends to permit banks to engage with cryptocurrencies and authorize funds to invest in crypto derivatives. The regulator first permitted the offering of these instruments in May.