Kuwait Discovers Over 1000 Illegal Mining Operations

Kuwait Discovers Over 1000 Illegal Mining Operations

The authorities in Kuwait have discovered more than 1000 illegal locations exhibiting abnormally high electricity consumption. In response, the Ministry of Interior (MOI) of the country has issued a warning against Bitcoin mining operations within the state.

This is reported by Finway

Illegal Mining Under Threat

The MOI of Kuwait has announced an official warning regarding illegal cryptocurrency mining after significant electricity consumption was recorded at over 1000 sites across the country. It is worth noting that cryptocurrency mining has been banned in Kuwait since July 2023, when the Capital Markets Authority issued a circular prohibiting all forms of crypto activities, including trading, transfers, and mining.

However, the low cost of electricity, among the lowest in the world, continues to attract individuals to this illegal business. In a joint statement from several departments, including the Ministry of Electricity, Water, and Renewable Energy, it was noted:

“Mining is an illegal activity and a direct violation of the country’s law. It causes overloads in the electricity network, leading to power outages in residential, commercial, and industrial areas, jeopardizing public safety and disrupting the provision of essential services.”

The authorities are urging an immediate cessation of illegal activities, threatening prosecution under current legislation. A joint operation also revealed abnormal activity in 100 homes in the Al-Wafra region, where electricity consumption remained exceptionally high for a full day, without the usual fluctuations typical of the residential sector.

Monitoring and Further Actions

Fatima Jawaher Hayat, an official representative of the Ministry of Electricity, Water, and Renewable Energy, reported:

“In some cases, consumption exceeded 100,000 kWh just for March 2025 — nearly 20 times higher than the average in neighboring homes.”

The future of the residents of these homes remains uncertain. Hayat emphasized that monitoring across the country will continue, and suspicious areas will remain under surveillance. It is noteworthy that the Bitcoin mining industry contributes over $4.1 billion annually to the U.S. economy. In Pakistan, on the other hand, they have decided to use part of the excess electricity for Bitcoin mining.