Livestock Farmers Turned Crypto Miners Caught in Massive Electricity Theft
Authorities in Ingushetia have uncovered a large-scale electricity theft operation at a livestock farm in the village of Surkhakhi. The culprits, who were also involved in cryptocurrency mining, illegally siphoned off approximately 8 million kWh of electricity, causing significant damage.
Key Takeaways
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A large-scale illegal cryptocurrency mining operation was discovered at a livestock farm in Ingushetia.
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Approximately 8 million kWh of electricity was stolen, bypassing official meters.
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The operation involved 99 ASIC miners and an illegally upgraded transformer.
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The theft is comparable to five years of energy usage by a major regional hospital.
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Cryptocurrency mining is linked to a significant portion of electricity theft in the region.
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Recent regulatory changes permit mining under specific conditions, but illegal operations remain a concern.
The Operation Uncovered
Energy company "Rosseti North Caucasus" discovered the illegal cryptocurrency miners on the livestock farm. The operation was drawing power through a transformer that had been illegally upgraded from a 100 kVA capacity to a 400 kVA unit. This allowed the miners to consume over 300 kW of electricity, bypassing official metering devices.
Scale of the Theft
Inside a makeshift facility, 99 ASIC miners were found operating without proper authorization. The total amount of stolen electricity, exceeding 8 million kWh, is equivalent to the energy consumption of the Ingush Republican Clinical Hospital over a five-year period. The exact financial damage is still being calculated, and investigations are underway to identify all individuals involved.
Broader Context of Crypto Mining in Ingushetia
This incident highlights a growing trend, as energy providers report that 94% of all stolen electricity in the first half of 2025 is linked to cryptocurrency mining. The financial impact of such illicit activities is substantial, with an estimated 347.5 million rubles in resources consumed by unauthorized miners. Over 450 mining devices have been confiscated from offenders.
It is noteworthy that Russia had previously imposed a ban on cryptocurrency mining in certain regions, including Ingushetia, from January 1, 2025, to March 15, 2031. However, a government decree on March 21, 2025, permitted mining in these areas, provided that miners utilize their own electricity generation and obtain regulatory approval.
Sources
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Livestock miners from Ingushetia stole 8 million kWh of electricity, ForkLog.
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Rosseti North Caucasus stopped mining theft of electricity at a livestock farm in Ingushetia, Россети Северный Кавказ
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