Bitcoin mining banned in Kuwait, where the energy network reaches the point of collapse

The government of Kuwait started a Campaign on coded currency mines Throughout the country, they accused them of a shortage of energy with summer, just around the corner, according to a Reuters report. Last week, the Ministry of Interior announced a “large -scale” security campaign targeting homes that have been converted into mining centers.

The power network is under a severe breed

Exponation mining operations “represent an illegal exploitation of electric power” and can operate power failure The Kuwaiti authorities said that the influence of residential houses, commercial institutions and critical services. In its announcement, the Ministry of Interior added that the operations “constitute a direct threat to public safety.”

The lack of energy in the Gulf country is the result of multiple reasons: increasing population, urbanization, increased temperatures, and postponing postponing at the current power plants. The authorities focused on the southern sector of joy, where about 100 houses were said to be used for mining operations.

Video: Kuwait is a bust statue that encodes the workers of work mines in a residential area#Kuwait #CryPTONINING #CryPtocurrency https://t.co/uji7sh6tal

Arab Arabs – Kuwait (arabtimeskuwait) April 25, 2025

Mining operations use cheap electricity

Some mining facilities in abundance use up to 20 times the average levels of electricity required by regular homes, according to previous reports submitted by the Ministry of Electricity. Cheap electricity that was very supported in the country brought miners who hope to make great profits.

A rendering of a crypto mining operation. Image: Gemini Imagen.

A problem with the legal gray region

Although Kuwait has Crack currency tradingThe nation lacks mining legislation. This vulnerability enabled miners to work in a legal form even with the central bank warning against investing in encrypted currencies.

The case clarifies how coding mining is looking for low electricity costs. The same trends have been observed in the world, as countries from Kosovo to Russia led to mining to avoid energy lack.

Early results indicate a strong effect

The Ministry of Electricity announced a 55 % decrease in energy consumption in Al -Farah after the campaign last week. This sharp decline indicates that the campaign was successful in its initial stages.

The cryptocurrency policy in Kuwait is flagrantly inconsistent with the policy of some of its neighbors. While Kuwait suppresses mining, Dubai opened this week in front of a major encryption conference, with Eric Trump, the son of US President Donald Trump, in the attendance.

Cambridge University has estimated that Kuwait was only 0.05 % of the world Bitcoin mining In 2022, however, this small percentage can have a significant impact on the relatively small electrical network in Kuwait, experts say.

“It will only take a very small percentage of the year Bitcoin Alex de Fries Gao, co -founder of Digiconomist, a joint use companies for the use of encryption energy, said the mining network has a significant impact on relatively small total electrical use of Kuwait.

With the high temperature of the Kuwaiti in the next few months, officials are still asking citizens to reduce electricity consumption, expecting to avoid frequent power outages during the hot summer months.

Distinctive image from Unsplash, tradingvief chart