Kuwait's Ministry of Interior (MoI) has issued a statement stressing that cryptocurrency mining is illegal in the country and does not require a license. Kuwait's Ministry of Electricity, Water and Renewable Energy officials indicated that there are more than 1,000 cryptocurrency mining sites in the country.
In a press release posted on X, the Ministry’s General Department of Public Relations and Media clarified that cryptocurrency mining violates a number of key laws, including Law No. (56) of 1996 on Industries, Law No. (31) of 1970 amending certain provisions of the Penal Code No. (16) of 1960, Law No. (37) of 2014 establishing the Communications and Information Technology Regulatory Authority (CITRA), and Law No. (33) of 2016 on the Kuwait Municipality.
The ministry stressed that cryptocurrency mining results in significant energy consumption and increases the load on power grids, which could lead to power outages and pose a risk to public safety.
The warning is the result of joint efforts by the Ministry of Interior, the Ministry of Electricity, Water and Renewable Energy, the Communications and Information Technology Authority, the State Authority for Industry and the Kuwait Municipality. These efforts are part of a concerted national initiative to combat these illegal activities and minimize their negative impact on the country's energy infrastructure.
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In the photo: https://www.youtube.com/watch?v=0000000?===================================== =— وزارة الداخلية (@Moi_kuw) April 22, 2025
The Ministry of Internal Affairs called on the offenders to immediately correct their actions, emphasizing that ignoring the requirements will lead to the necessary legal measures. The offenders will be transferred to the relevant investigative bodies for further proceedings in accordance with the current legislation.
Cryptocurrency trading and payments are also banned in Kuwait
The Ministry of Finance does not recognize cryptocurrencies as a means of official commercial transactions. Similarly, the Central Bank of Kuwait (CBK) prohibits the banking sector and entities under its control from engaging in cryptocurrency trading. The ban covers the use of cryptocurrencies in electronic payments and intermediation in cryptocurrency transactions.[523] CBK has asked the Ministry of Trade and Industry to warn consumers about the risks associated with cryptocurrencies such as Bitcoin.
Kuwait is one of the most accessible countries for cryptocurrency mining
In 2023, the country was named the most affordable place to mine Bitcoin (BTC) in the world. One report suggested that mining costs in Kuwait were only $1,400 per BTC in 2022, while in Texas, the figure was over $18,000 (Bitcoin was worth over $40,000 at the time).
According to data compiled by Best Brokers, Bitcoin mining consumes around 140,336 GWh annually, which is more than the annual electricity consumption of countries such as Ukraine or Malaysia.
Source: cryptonews.net
