Paraguay Keeps Chasing Illegal Bitcoin Mining Operations: 693 Miners Seized

The Paraguayan government is still chasing illegal bitcoin mining operations. On Wednesday, employees from the National Power Administration of Paraguay (ANDE) seized a shed in Hernandarias city, detecting an illicit bitcoin mining operation that hosted 693 mining machines.

Paraguayan authorities have detected and seized an illegal bitcoin mining operation hosting 693 miners, thanks to the implementation of SCADA systems.

The National Power Administration of Paraguay (ANDE) detected a tampered meter that failed to register all the energy consumed by the equipment connected to the power grid.

Paraguay Keeps Chasing Illegal Bitcoin Mining Operations: 693 Miners Seized

The Paraguayan government, through the National Power Administration of Paraguay (ANDE), is still detecting and putting an end to illegal bitcoin mining operations in the country. On Wednesday, ANDE employees carried out the seizure of a shed in Hernandarias city, where they found and confiscated 693 mining machines.

The detection of this illegal operation was made possible due to the implementation of Supervisory Control and Data Acquisition (SCADA) systems, which allowed ANDE technicians to analyze the power consumption in the area and register a substantial increase.

In addition to the confiscation of the 693 miners, a 4,000 KVA transformer was also seized by the authorities.

Some illegal operations of this kind completely bypass the power meter, but in this case, the operators tampered with the meter, allowing some of the power used by the facility to be registered, but not all. The official ANDE report states that the meter only registered 749,5 kW, while the true power load reached 2,151 kW. This allowed the operators to save 65% of their operating costs.

“ANDE reaffirms its firmness in combating this type of illegal activity that greatly harms the quality of the electrical service in the area and considerably affects the finances of the institution,” the company stated.

ANDE calculates that the operation of this facility caused losses of $60,000 monthly, which will have to be paid alongside other fines established by law. Individuals found to be responsible for this kind of crime can face penalties of up to 10 years of jail time, according to a law passed by the Paraguayan Senate in July.

Paraguayan justice has been applying harsh sentences to those convicted of energy theft crimes. Last week, the owner of a cryptocurrency farm that caused losses of over $1.5 million was sentenced to 18 months in prison for stealing energy to mine bitcoin.

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