This sector has come under increased pressure as more countries express concerns over their activities. The latest to ban crypto mining activities is the Venezuelan government.

The country’s government cited heavy electrical consumption as the primary reason for the ban. Let’s discover more this important news for crypto mining.

Venezuela Bans Crypto Mining Over Energy Concerns

The local report claims Venezuelan authorities plan to disconnect crypto mining farms from the country’s national grid. According to authorities, this would help guarantee more supply for the general public. Also, it would reduce the heavy energy consumption from these mining farms.

In addition, authorities recently confiscated over 11,000 mining devices as part of an effort to reduce energy consumption. Rafael Lacava, governor of the state of Carabobo, reportedly led an effort that resulted in the seizure of crypto-mining devices. And the disconnection of several mining farms.

Source: X

Interestingly, Venezuela has faced recent power outages and blackouts. The country’s government believes mining facilities contribute to Venezuela’s unstable electricity supply. Furthermore, Lacava plans to disconnect more farms and issue an order to reduce the consumption of state agencies.

The crypto industry in Venezuela has been faced with controversies in recent years. Sunacrip, the country’s crypto watchdog, was allegedly accused of being involved in a corruption scheme. Sunacrip was said to have sanctioned the illegal sale of oil approved for cryptocurrency. Joselit Ramirez, the Sunacrip president, was arrested following the event.

Global Bans on Mining Activities

Venezuela isn’t the only country banning crypto mining due to electricity concerns. China and Kazakhstan have adopted measures to ban or curtail these operations. The US State of Texas has also moved to curb crypto mining operations. Residents complained that industrial-scale operations resulted in high energy bills.

Source: X

Finally, Arkansas lawmakers are also considering a mining-related bill. The bill seeks to limit noise pollution and foreign ownership of crypto-mining farms. States like Arkansas have cheap energy, making them ideal for mining. However, the growing concerns about mining activities cast huge doubt on the future of crypto mining in the US.


The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.


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