KUWAIT: The public prosecution announced on Tuesday it has launched investigations into 31 cases involving the illegal use of electricity for cryptocurrency mining across 59 residential properties. A total of 116 suspects have been questioned in connection with these cases.
In a statement, the public prosecution emphasized that electricity is a strategic national resource that must be used exclusively for its intended purposes. It noted that some individuals exploited residential electricity supply for digital currency mining operations in pursuit of quick profits, which caused damage to the national power grid and adversely affected public interest.
The prosecution stressed its duty to protect state resources and safeguard national interests, calling on everyone to use such resources responsibly. It added that, in cooperation with relevant state authorities, it will take strict legal action against anyone found violating the law through such unauthorized practices. Mining for crypto uses vast amounts of computing power and has prompted authorities around the world to curb its use.
Kuwait has banned cryptocurrency trading, while Kuwait’s Central Bank has warned against investing in crypto. OPEC member Kuwait is grappling with a severe power crisis driven by population growth, urban expansion, rising temperatures and delayed maintenance at some plants. Electricity in the country is extremely cheap and the government has urged residents not to waste it as the need to keep cool amid sweltering summer temperatures heaps pressure on a strained electrical grid.
Crypto mining is a highly complicated process in which advanced computers are used to solve complex mathematical problems. Miners have to compete against each other in the complicated process to verify the cryptocurrency. The mining process is essential for maintaining the integrity and security of a cryptocurrency network and could be highly profitable. – Agencies
