Kuwait warns over 15 laws breached by illegal crypto mining

Kuwait’s Ministry of Interior has declared cryptocurrency mining illegal due to violations of multiple laws and its impact on the country’s electrical infrastructure, according to an April 22 announcement.

The ministry cited breaches of Law No. 31 of 1970 amending the Penal Law, Law No. 37 of 2014 related to the Communications and Information Technology Regulatory Authority, Industrial Law No. 56 of 1996, and Law No. 33 of 2016 concerning the Kuwait Municipality.

Officials highlighted that unauthorised crypto mining causes excessive electrical energy consumption, which increases the load on the public power network.

This strain leads to interruptions in electrical current that affect residential, commercial, and industrial areas, disrupting essential services.

The ministry warned that such disruptions pose a direct threat to public safety and the consistent delivery of basic services.

The announcement followed coordinated efforts among several government bodies, including the Ministry of Electricity and Water and Renewable Energy, the Public Authority for Communications and Information Technology, the Public Authority for Industry, and Kuwait Municipality.

The Interior Ministry urged individuals and entities involved in cryptocurrency mining to “adjust their status quickly” to comply with the law.

It also emphasised that this opportunity is limited and non-compliance will result in legal action.

“In case of non-compliance, the necessary legal measures will be taken against all violators, including referring the violators to the competent investigation authorities to take the necessary action in accordance with the prevailing laws,” the ministry stated.