Tajikistan Proposes Up to 8 Years in Prison for BTC Mining With Stolen Electricity

Tajikistan’s bicameral parliament has the law to make it a crime to use illegally obtained electricity to mine cryptocurrency. For serious offenders, the penalties can include up to 8 years in prison.

The new laws introduce a new section to the Criminal Code that makes it illegal to use power to create virtual assets. 

This is in response to growing anger over mining farms that connect directly to the national grid without paying for it. Habibullo Vohidzoda, the Prosecutor General, told MPs that illegal mining operations have caused power outages in several cities and districts, leading to supply limitations and making it easier for more crimes to occur. 

Vohidzoda that the illegal movement of virtual assets makes it easier to commit crimes such as electricity theft, harm the state’s finances, and engage in . He gave many examples of farms that were found to be illegally connected across the country.

New Penalties Affect Individuals and Groups of People

The approved rules state that anyone who uses stolen power to run equipment may be fined between 15,000 and 37,000 somoni. Groups that do things like this could be fined up to 75,000 somoni and sent to prison for 2 to 5 years. Theft on a large scale could get you 5 to 8 years in prison.

The Prosecutor General noted that official estimates put the state’s losses from illegal mining at about 32 million somoni. He also said that some of the people who did it brought equipment from other countries in violation of national laws.

Vohidzoda stressed that investigations are already going on into numerous of these kinds of businesses. This is especially significant because Tajikistan is getting set for its annual winter energy crunch.

Energy Crisis Leads to Legislative Crackdown

Tajikistan’s decision comes amid severe power shortages, with some areas receiving power for only 2 to 4 hours a day during the busiest winter months. Grey-market mining has put even more strain on the already unstable infrastructure.

In response, the government has stepped up enforcement beyond the current penalties for ordinary electricity theft, which include fines and up to ten years in prison.

President Emomali Rahmon must sign and publish the changes before they take effect. However, MPs believe they are necessary to curb in crypto mining and restore stability to the grid.

Vohidzoda said that unregulated operations not only waste money but also assist larger criminal networks. The law is a strong disincentive against the shadow economy in this industry.

Wider Effects on Mining in Central Asia

Tajikistan used to allow mining as a low-regulation activity that attracted international rigs during the low-cost summer hydropower seasons. But now that it has become illegal, it shows the country is becoming more strict in line with its own priorities.

Experts say the policy is in line with developments in the region, as Kazakhstan and other nearby nations have put similar limits in place to preserve infrastructure.

In a place where frigid winters make electricity even scarcer, the risks for miners suddenly exceed the advantages. This might send the hash rate elsewhere as local governments take back control of a power system that has long been used for illegal crypto production.

The law puts Tajikistan at the vanguard of ‘s first apparent criminalisation of electrical theft connected to digital assets.