Russia, Ukraine closed several cryptocurrency farms – Mining Bitcoin News


Authorities in Russia and Ukraine have shut down some illegal encrypted mining facilities allegedly powered by electricity theft. Underground farms have been discovered around the capitals of Kiev and Moscow, as well as the Republic of Dagestan, Russia.

Russia cracks down on illegal mining farms in the Moscow region and Dagestan

Russian law enforcement agencies and customs officers have recently discovered incidents of the theft of large amounts of electricity from the networks they operate. Rossetti Located in the Moscow region, adjacent to the Russian capital. The TASS news agency quoted Ekaterina Korotkova of the Moscow Interregional Transport Prosecutor’s Office this week in reporting about the operation. The official explanation says:

An audit revealed unauthorized connection to the grid, electricity theft, and illegal land occupation to operate equipment designed to perform cryptographic calculations related to digital currency mining.

Korotkova elaborated that the cost of illegally consumed electricity used to power mining hardware exceeds 500,000 rubles (nearly 7,000 US dollars) per day. The authorities have initiated criminal proceedings and intend to sue the owner of the coin minting facility.

Two cryptocurrency farms in Dagestan, the Russian Republic, in the North Caucasus were also destroyed. In late November, the Communist Youth League Pravda reported that a large-scale mining operation was discovered in a mountainous area. Preliminary data from the investigation indicated that the loss caused by its unknown operator was estimated at 1 million rubles (more than $13,000).

The local police also found a mining company in Botlikh district where miners were connected to the grid without permission. According to a report from the Ministry of Interior of Dagestan cited by Forklog, the crypto farm has been established since November and is run by a 35-year-old resident of Dakhadayevsky district who stole electricity worth 257,000 rubles (approximately US$3,500).

The “Digital Financial Assets” law that came into effect in January regulates some crypto-related activities in the Russian Federation, but cryptocurrency mining is not one of them.This year, the voice among Moscow officials is getting louder and louder make out Business as an entrepreneurial activity is taxed accordingly.

Underground crypto farm discovered in Kiev region, Ukraine

At the same time, the Ukrainian Security Service (SBU) Announce On Friday, it found an illegal mining facility in Kyiv Oblast.According to Ukraine’s main law enforcement agency, three local residents have installed multiple ASIC They rented a hangar in the Bukanski district on the border with the capital. They allegedly used electricity worth 3.5 million hryvnia (more than US$128,000).

Russia, Ukraine closed several cryptocurrency farms
Source: SBU

The increasing popularity of cryptocurrencies has made Ukraine a use In recent years, the government has been taking measures legalization “Virtual assets.” Although Bitcoin mining is Not banned, There is no regulation yet. This year, the SBU has been hunting down miners who use the country’s electricity supply network, closure Many crypto farms in different regions, including Large data center Last month in central Ukraine.

Tags in this story

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