Russia Opens up Its Nuclear Power Plant to Crypto Mining Players

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Rosatom State Atomic Energy Corporation, a Russian state corporation based in Moscow, is encouraging data centers and crypto miners to conduct business in its newly-opened mining farm in Udomlya.

Located 200 miles northwest of the country’s capital and near the Kalinin nuclear plant, Rosatom’s 30-megawatt mining facility reportedly cost the company $4.8 million. Sergei Nemchenkov, the chief of digital products and data centers of Rosatom’s subsidiary Rosenergoatom, said that the company intends to lease the space for crypto miners and data centers in need of a hefty supply of electricity.

The decision came quite surprising for industry analysts, given that Rosatom could easily set up an exclusive mining operation. However, Nemchenkov emphasized that it is one way of diversifying the company’s operations. After all, he noted that their target markets are both heavy energy consumers that enjoy stable demand.

Notably, Rosatom is the first major government-associated corporation to empower crypto mining in Russia. With plans of increasing its mining farms’ capacities to 240 megawatts across the country, experts believe that Rosatom has the potential of becoming one of the most dominant players on the global market.

To gain a clearer perspective, let’s compare the two mining facilities that are both under construction in Rockdale, Texas. Bitmain, the Chinese mining giant, announced that its facility would open with an initial capacity of 25 – 50 megawatts. The figure, as per the announcement, would eventually climb up to 300MW.

Meanwhile, the mining hub operated by Whinstone Incorporated, the one being dubbed as the largest crypto mining facility and data center in the world, would debut operations at 300 megawatts. As per the company’s project description, the number would eventually climb up to 1 gigawatt.

Notably, Rosatom would charge miners 4 to 5 cents per kilowatt-hour for electricity. According to Nemchenkov, the company is fully aware that its pricing is not the cheapest in the industry. However, he emphasized that what they are marketing is a white deal because Rosatom would ensure that consumers would be operating in a reputable and legitimate mining farm.

Through its subsidiary Rosenergoatom, Rosatom was able to close a deal with ECOS-M. This mining hotel firm would purportedly help the company to find clients. According to Ilya Goldberg, ECOS-M’s managing partner, they are working fast to fill the mining field in Udomlya, which measures 215,000 square feet and can house up to 30 containers. Apart from the collaboration in Udomlya, Goldberg revealed that they would also help Rosatom fill four more mining venues in the years to come.

However, despite the promising future of the crypto mining industry, Nemchenkov said that anything could happen. He noted that if Russia decides to ban crypto mining and other related activities altogether, Rosatom will repurpose the facility to ordinary data centers.

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