Libyan authorities have cracked down on illegal cryptocurrency mining operations in the country, resulting in the arrest of 50 Chinese nationals, according to the prosecution in Tripoli.
The interior ministry agents discovered the operation in Zliten, located about 160 kilometers east of the capital. Minors were found exploiting significant resources to generate virtual currencies with the assistance of the detained Chinese individuals.
A video shared on the Tripoli prosecutor’s office Facebook page revealed the presence of numerous industrial fans, computers, and hardware in structures lacking windows.
This recent crackdown follows the dismantling of another illegal crypto-mining farm operated by 10 Chinese nationals in Misrata.
Also, read; Rihanna Steps Down as CEO of Savage X Fenty, Focuses on New Chapter
The operation of such facilities necessitates strong servers, stable internet connections, and expensive equipment. However, due to Libya’s war-torn condition, the country faces frequent power cuts and unreliable internet speeds, making it challenging to sustain such operations.
It is worth noting that Libya’s central bank had previously prohibited cryptocurrency transactions in 2018 until regulations could be established. The North African nation, which is divided between two rival administrations, awaits legislation to regulate cryptocurrency use.
It is part of a global trend, with several countries, including China, banning crypto mining. China was once a prominent player in virtual currency manufacturing but banned it in June 2021.
As the crackdown on illegal cryptocurrency mining continues, Libyan authorities are taking steps to address the challenges posed by these operations while awaiting comprehensive regulations for the cryptocurrency sector.
