kuwait Cracks Down on Crypto Mining Amid Energy Crisis
Kuwait has launched a crackdown on Bitcoin mining, blaming it for straining the country’s electric grid. On May 1,the government started targeting homes involved in crypto mining. Over 60 individuals are now under inquiry.
The interior ministry says crypto mining is an illegal use of electricity. It can cause power outages and threaten public safety. The nation faces frequent blackouts due to growing energy needs. high temperatures and a rising population are putting pressure on the grid. Air conditioning use is a major factor.
Despite having some of the world’s cheapest electricity, the country is struggling. Electricity costs just 2.9 cents per kilowatt-hour.This made it a popular spot for miners. But the practice is now banned. The ministry warns it may lead to outages in residential and commercial areas.
Kuwait isn’t alone. Russia and China also banned mining. Russia cited grid strain, while China wants to move to green energy. The ministry says mining operations are a direct threat. The country ranks in the top 20 for the lowest electricity prices. This attracted miners. But the energy crisis forced action. The ministry says the ban is necessary to protect the grid.The move comes as temperatures soar, increasing demand. The ministry says the ban is needed to ensure reliable power for everyone. The ministry’s action shows the global pressure on miners. Energy use is a big concern.
- Kuwait’s cheap power made it attractive for miners.
- Other countries like Russia and China have taken similar steps.
- The ban aims to secure power for all citizens.
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