Libya arrests 50 Chinese nationals in crackdown on crypto mining

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Libyan authorities have dismantled a crypto-mining operation in the west of the country, the Tripoli prosecutor’s office said on Thursday, adding that 50 Chinese nationals had been arrested.

Interior Ministry agents searching a farm in Zliten, some 160 kilometers east of the capital, found “miners operating significant hardware capacity to generate virtual currencies with the help of 50 Chinese nationals” who were arrested, prosecutors said in a statement.

A video shared on the Tripoli Prosecutor’s Office Facebook page showed several structures without any windows but dozens of industrial fans, along with large amounts of computers and equipment.

On Wednesday, prosecutors announced that authorities had dismantled another illegal crypto-mining farm in the port city of Misrata, adding that it was operated by 10 Chinese nationals.

These sites, which normally operate around the clock, require powerful servers, a stable internet connection and expensive equipment.

But war-ravaged Libya experiences regular power cuts and erratic internet speeds.

According to tech watchdog Digiconomist, mining bitcoin, the world’s most popular cryptocurrency, requires around 1,150 kWh of electricity.

Many countries around the world have banned crypto mining, including China, which was a global leader in virtual currency manufacturing before banning it in June 2021.

Libya’s central bank banned all cryptocurrency transactions in 2018, pending legislation regulating its use in the North African country divided between two rival administrations.

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