Libyan authorities have arrested 50 Chinese nationals allegedly involved in an illegal cryptocurrency mining operation.
During the summer, power outages last up to 18 hours a day, as Libyan authorities intensify their efforts to curb such activity.
The statement said that those arrested were caught operating a cryptocurrency mining facility inside an abandoned ironworks on the west coast of Libya. The office of Attorney General Siddiq Al-Sour has released photos and videos showing the process of dismantling key mining systems discovered in the city of Zliten, in eastern Tripoli province.
Mining systems included a network of cables connecting digital conversion systems, data servers, fans, and high-voltage refrigerators.
These latest arrests, according to the attorney general's office, came just after 10 more Chinese nationals were arrested Wednesday, who were seized after being caught "red-handed" with dozens of powerful computers used to perform complex mining operations in Misrata.
The attorney general's office added that these actions "violate the law" as the alleged perpetrators used "high-energy devices that use large amounts of material to mine cryptocurrencies."
The statement said Libyan authorities had sought help from experts to assess "the harm done to public money and the public interest as a result of the use of high-energy devices and violations of monetary policy rules."
Despite the official ban, Libya recorded about 0.6 percent of the world's Bitcoin production in 2021, recording the highest percentage of cryptocurrency mining in the African continent.
Libya is known for its cheap electricity costs at just $0.004 per kilowatt hour, which is about 40 times cheaper than the United States. While this makes Libya an ideal environment for cryptocurrency mining, it has also contributed to the already poor state of electricity grids in the country due to the political instability that has gripped the country for over a decade.
*Not investment advice.
