Despite the ban in Libya, crypto mining attracts many people due to its favorable energy conditions. Libyan authorities recently shut down an illegal crypto mining operation in Zliten. As part of this process, 50 Chinese nationals were arrested.
Crypto mining: an operation formally prohibited in Libya
In Libya, cryptocurrency mining is strictly prohibited. This explains the intervention of the police. Result : 50 Chinese nationals were arrested by the Libyan authorities. The motive is their involvement in operating crypto mining farm in Zliten. The mining operation took place in an old abandoned factory.
According local media, Libya’s Attorney General’s Office shared visual evidence showing the mine site located in Tripoli province. Ten people linked to the crypto mining operation had already been arrested two days earlier.
According to Libyan officials, this illegal operation highlights breaking the law and using high energy devices for cryptocurrency mining. Libyan authorities are currently seeking experts to assess the impact of this illegal activity on the public interest.
Despite the ban, Libya remains a destination of choice
Despite the official ban on crypto mining in Libya, the country still attracts miners due to its favorable energy conditions. With such low electricity costs than $0.004 per kilowatt-hour (kWh), Libya indeed remains an attractive location for mining operations.
In 2021, Libya has the highest bitcoin production rate of any African region. This success is attributed to the country’s advantageous electricity costs. For its part, China still represents only 20% of the global hashrate in May 2022. Crypto mining operations are also prohibited there. And despite this ban, China occupies a significant place in the crypto market.
Arrest of Chinese Nationals Involved in Illegal Crypto Mining Farm in Libya Marks a significant victory in the fight against clandestine cryptocurrency mining operations. To be continued…
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