Interpol, an International Criminal Police Organization, has recently revealed over a thousand arrests and $100 million seized in a significant effort to stop crypto miners and scammers in Angola.
In a notice dated August 22, the intergovernmental organization stated that it will join forces with Angolan officials to close down 25 crypto mining operations illegally operated by 60 Chinese citizens. Following the Angola crypto crime, equipment worth over $37 million was seized. The relevant authorities in the country highlighted that this equipment will be distributed as financial support to vulnerable areas.
The measures taken against mining in Angola are part of a big cybercrime operation conducted across several African countries. So far,1,209 individuals have been arrested, and around $97 million has been recovered under this operation.
Apart from Angola, Zambia has also been exposed to a fraud scheme . This was revealed after officials in the country identified a scenario whereby 65,000 individuals experienced significant financial losses amounting to $300 million following fake promises of higher returns upon making crypto investments.
Authorities implement mining regulations to address power supply issues
The population of Angola is estimated to be roughly 39 million. Power supply and distribution are the country’s primary problems in these regions. The government has predominantly pointed the accusing finger at crypto miners for this scenario, resulting in a crackdown on their operations. This led to a ban on mining in April 2024 amid concerns about energy use . That said, digital assets are not entirely prohibited in Angola.
Following the ban implemented on mining, a translated notice was released from the Chinese embassy in Angola stating that cryptocurrency mining under this law was considered illegal. It also warned that individuals possessing any equipment or infrastructure used for virtual currency ‘mining’ could be imprisoned for about one to five years, and the equipment might be taken away.
This law illustrates a growing trend among countries globally, aiming to limit or completely ban crypto mining to address how power is shared among citizens.
A good example is the Republic of Buryatia, which is part of Russia, that recently applied these measures, and authorities discovered the existence of around 95 mining rigs and a mobile transformer hidden inside a truck that was unlawfully using electricity.
In the US, laws governing the mining sector differ from state to state. That has pumped “friendly” locations like Texas, where businesses like MARA Holdings, Riot Platforms, and CleanSpark do business. As of 2022, New York’s state government prohibited proof-of-work mining in the state for two years.
Electricity theft related to crypto mining intensifies as power shortage increases
During a regular power line inspection in Pribaikalsky District, officials in Russia’s Republic of Buryatia discovered the existence of a cryptocurrency mining operation that operated illegally, which was concealed in a KamAZ truck. The operation was to acquire an unauthorized electricity supply from a nearby village.
According to the Russian state news agency TASS, this setup acquired electricity from a 10-kilovolt line to provide power to a small village. After being recognized, two people familiar with the situation revealed that the operation escaped in an SUV before police officers arrived.
This scenario is the sixth case of electricity theft related to crypto mining in Buryatia this year, Rosseti Siberia’s Buryatenergo unit said.
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