Illegal Crypto-Mining in Libya Takes Action Against 50 Chinese Nationals

Libyan authorities have arrested 50 Chinese nationals in a raid of a data center as part of their efforts to combat illegal crypto mining in the country.

Libyan authorities raided a data center in Zliten, arresting 50 Chinese nationals involved in illegal crypto-mining. Interior ministry agents reported that minors were generating virtual currencies with the assistance of detained Chinese individuals. This is the latest in a series of crackdowns by the Libyan government on illegal crypto-mining activities in the country. The government has warned that such activities are illegal and will be punished accordingly. It is hoped that this latest action will help to deter further illegal crypto-mining activities in the country.

Crackdown on Crypto-Mining Farms in Libya by Prosecutors

The Tripoli prosecutor’s office recently uncovered an illegal crypto-mining operation in the city. The operation was conducted in structures without windows and contained numerous industrial fans, computers, and hardware. This follows the dismantling of another illegal crypto-mining farm in Misrata, operated by 10 Chinese nationals. Crypto-mining, the lucrative process of adding transactions to the blockchain, is illegal in Libya. The prosecutor’s office is actively working to crack down on these operations and ensure strict adherence to the law.

Despite Libya’s central bank banning cryptocurrency transactions, the country has become a hub for crypto-mining. This is due to the deteriorating living conditions and economic situation in the nation, as well as the remarkably low cost of electricity and operations in Libya. Bitcoin mining operations require robust servers, a stable power supply, and an internet connection, all of which are available in Libya. Due to favorable conditions such as low costs and potentially high rewards, the country has become attractive to Bitcoin miners.

Countries Banning Cryptocurrency Mining and Trading

Cryptocurrency mining is banned in China, Nepal, Afghanistan, and Morocco, citing environmental concerns and risks of illegal activities. Additionally, 42 other countries have implicitly banned digital currencies by restricting their banks’ ability to deal with crypto transactions and cryptocurrency exchanges. These countries include Algeria, Bahrain, Bangladesh, and Bolivia. The purpose of the bans is to safeguard citizens from the potential risks linked to crypto-mining and trading. The existence of cryptocurrency bans in certain countries does not suggest universal illegality, as regulations are still under development.

Moroccan authorities sentenced a 21-year-old French citizen to prison and imposed a fine for the illegal use of Bitcoin in Morocco. Governments worldwide are increasingly concerned about cryptocurrencies’ potential for facilitating illicit activities, reflecting a growing trend. China and India express concerns about the environmental impact of crypto-mining, leading to hesitancy in adopting digital currencies. Cryptocurrency usage continues to experience growth, and governments are yet to determine their response to this trend.

Disclaimer: Cryptocurrency trading involves significant risks and may result in the loss of your capital. You should carefully consider whether trading cryptocurrencies is right for you in light of your financial condition and ability to bear financial risks. Cryptocurrency prices are highly volatile and can fluctuate widely in a short period of time. As such, trading cryptocurrencies may not be suitable for everyone. Additionally, storing cryptocurrencies on a centralized exchange carries inherent risks, including the potential for loss due to hacking, exchange collapse, or other security breaches. We strongly advise that you seek independent professional advice before engaging in any cryptocurrency trading activities and carefully consider the security measures in place when choosing or storing your cryptocurrencies on a cryptocurrency exchange.

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Kassidy Florette
Kassidy followed her friends to buy her first Bitcoin in 2015, has been participating in various projects since 2019 as a marketing communication lead. Her knowledge and passion brings her in as a contributor.