By default, mining cryptocurrencies is not illegal in most countries. Stealing electricity to power such a mining operation, however, remains punishable by law. 

Not every country in the world takes a positive approach to cryptocurrencies or mining activities. 

Stealing Electricity to Mine Crypto

In Russia, there is still a debate going on as to whether this activity should be allowed.

Users currently exploring crypto mining will not be put in jail, assuming they don’t steal electricity.

One resident of Makhachkala in Russia was doing exactly that.

It is believed that he has nearly 500 miners generating cryptocurrency, but all by stealing state-sponsored electricity from the grid. 

As a result of the mining activity, the local power grid has suffered from serious damage.

With nearly $500,000 in damages caused, an investigation was launched to find the culprit. 

Over 500 mining units and computers were arrested during the raid, and a criminal case has been opened.

For now, it remains unclear which cryptocurrencies were being mined, or how much money the individual made from this endeavor. 

It is not the first, nor will it be the last illegal mining operation in Russia to be shut down.

Law enforcement officers are actively cracking down on such operations. 


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