Illegal Crypto Mining Crackdown Continues in Russia
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Loading... - Dorothea Engel
- 03 Sep 2024
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Russian authorities are intensifying their crackdown on illegal cryptocurrency mining, particularly in the Irkutsk Region, known as an unofficial hub for Bitcoin mining in the country.
In a recent operation, the Investigative Committee of the Russian Federation for the Irkutsk Region seized 238 crypto mining rigs from a "summer cottage village" in Priangarye. This community, part of the Angarsky Bereg gardening partnership, is officially a non-profit organization focused on agriculture, but authorities claim it was being used for illicit mining activities.
The miners are accused of causing significant damage, estimated at over 68 million rubles (approximately $758,000), by overloading local power grids. The region's low electricity costs and cold climate have made it a popular location for crypto mining, but the practice has led to widespread disruptions in the power supply. Many miners allegedly exploit subsidized electricity meant for residential use to power their rigs, which is a major concern for local authorities.
A criminal case has been initiated against those involved, with charges related to fraud. The case has been forwarded to the local prosecutor’s office for further action.
