Carabobo regional authorities suspend electricity supply to registered miners in Venezuela’s major industrial states

Carabobo regional authorities suspend electricity supply to registered miners in Venezuela’s major industrial states

2021/8/10

The authorities of the Carabobo region of Venezuela suspended electricity supply to registered miners in major industrial states yesterday without an official explanation. People familiar with the matter said that the mining user group consumes too much energy, threatening the power supply and grid of other users. According to Criptonoticias, the National Electricity Corporation and Venezuelan cryptocurrency regulator Sunacrip are planning to meet to assess the situation and find solutions for miners to continue operations despite these measures. Carabobo is a critical component area with cryptocurrency and Bitcoin mining companies operating in the country, affecting the sustainability of these businesses. Since Sunacrip passed a bill regulating mining activities in the country, cryptocurrency mining has been legal in Venezuela. But all Venezuelans in the industry must obtain a license issued by Sunacrip. According to the law, miners must also specify their activities and keep records for ten years. However, many miners did not trust the government and decided to mine underground. This measure may be a pressure signal for all miners, requiring them to register with the national regulatory agency and start mining legally. Another potential reason for the suspension is that there may be an unstable power grid at the same time as the election of government party officials this weekend. The source said that if this is the case, the measure will be suspended after the election process.


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