Venezuela Cracks Down on Bitcoin Mining
Venezuela has declared a ban on Bitcoin mining and pledged to disconnect all mining farms from the national power grid to "alleviate pressure on the country's electricity supply."
- Venezuela’s Ministry of Electric Power has started to disconnect Bitcoin and cryptocurrency mining farms from the national grid. The local government claims the move will help to "regulate excessive energy consumption."
- An X post from Venezuela’s National Association of Cryptocurrencies states that cryptocurrency mining is now prohibited in Venezuela.
"We recommend that any person or company that has installed equipment uninstall it and store it to avoid inconvenience. We do not consider that this has a solution in the medium or short term," added the institution.
- As part of the crackdown, over 11,000 bitcoin miners have been confiscated. This follows another "anti-corruption" initiative in the city of Maracay, where 2,000 cryptocurrency mining devices were seized.
JUST IN: Authorities in 🇻🇪 Venezuela release video documenting the seizure of a large #Bitcoin mining facility following this week’s decree to crack down on the industry 😮 pic.twitter.com/Fe1CzlyjMt
— Bitcoin News (@BitcoinNewsCom) May 19, 2024
- Venezuela has been experiencing recurring blackouts since 2019 due to the shortages of fuel and rampant corruption that weighs down the country's economy.
