Crypto mining threatens to plunge a nation into chaos – angry Abkhazian villagers are said to have taken the law into their own hands by throwing miners out of their regions.
Recent developments in the de facto state of South Caucus have sparked anarchic uprisings that have thrown miners on the ears – and politicians seem to have disagreed on how to deal with what is quickly becoming a national crisis.
The government recently went back and forth on its crypto mining laws, first banning mining for good and then lifting the ban – before being asked to do another U-turn with local utility companies claiming the power grid is on their knees.
Per Media representatives Ekho Kavkaza, top lawmaker, held emergency meetings with Speaker of the Lower House of Parliament Valeriy Kvarchia and told MPs about a case in the village of Duripsh in Abkhazia’s Gudauta district, the de facto republic backed by Russia most countries recognized as the Autonomous Republic of Georgia.
Kvarchia said the villagers “decided to resist the mining effort themselves without contacting them [law-enforcement] Authorities. “
The spokesman added:
“[The villagers have] Shut down all farms mining crypto assets. And there was a big, scandalous gathering. Similar situations can arise in other villages and towns. “
This week MPs have already urged the government to withdraw its permit-based system, which allows miners to work freely in Abkhazia as long as they register and pay taxes on their earnings. The government estimates that taxing miners could earn them up to $ 661,000, despite the fact that many residents are now without power for hours and regional two-hour shutdowns are now a regular occurrence.
However, blackouts and blackouts have been reported across the region as miners continue their efforts and make the most of low energy prices and plummeting winter temperatures – while crypto prices continue to rise.
The water was further clouded by allegations spread on social media that the state’s former economy minister runs “one of the largest crypto-mining farms in Abkhazia.”
The same media broadcast quoted a representative of the President in Parliament on the grounds that stricter penalties are already being imposed on unregistered miners. Cabinet has called for further action, but the president’s office says the government has already taken action by extending a ban on mining equipment imports beyond the original December 2020 target for another four months.
However, there is ample evidence that attempts to ban the importation of mining equipment into Abkhazia are a lost cause.
Meanwhile, a raging inferno in an apartment in St. Petersburg in Russia left its male resident – also a crypto miner – in the hospital with burns to his hands, back and neck. Per 78.ru. Firefighters spent 40 minutes fighting the fire. The media reported that the man had no cooling system installed, which resulted in a potentially fatal overheating bug in his mining hardware.
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