Exploring the energy consumption of Bitcoin mining and the global trend of banning crypto mining, with a focus on China’s recent prohibition.
On Thursday, the prosecution in Tripoli announced that Libyan authorities have shut down a crypto mining operation in the western part of the country. During a search of a farm in Zliten, located about 160 kilometers east of the capital, agents from the interior ministry discovered that minors were using advanced equipment to create virtual currencies.
They also apprehended 50 Chinese nationals who were involved in this activity, according to a statement issued by the prosecutors.
The Tripoli prosecutor’s office shared a video on their Facebook page that depicted multiple buildings lacking windows. Instead, these structures contained numerous industrial fans and a substantial amount of computers and hardware equipment.
Prosecutors declared on Wednesday that law enforcement had successfully taken down an additional unlawful crypto-mining facility located in the port city of Misrata. They further disclosed that the operation of this farm involved ten Chinese nationals.
These types of locations, typically functioning continuously, necessitate robust servers, a reliable internet connection, and costly equipment.
However, war-torn Libya frequently encounters frequent interruptions in electricity supply and inconsistent internet speeds.
The Environmental Impact Of Bitcoin Mining And Global Bans On Crypto Mining
Based on findings from tech watchdog Digiconomist, the process of mining the most widely recognized cryptocurrency, Bitcoin, consumes approximately 1,150 kWh of electrical energy. Numerous nations around the globe have implemented bans on crypto mining, including China. China was once a prominent player in the production of digital currencies but prohibited mining activities in June 2021.
In 2018, the central bank of Libya implemented a ban on all cryptocurrency transactions within the country. This action was taken as a temporary measure until legislation could be enacted to establish regulations governing the use of cryptocurrencies in Libya. It is worth noting that Libya, located in North Africa, is currently divided between two rival administrations.