New reports in the Bitcoin scams news show that BTC mining is considered illegal in Venezuela. In fact, hundreds of Bitcoin mining machines manufactured by Bitmain were seized in the country by the authorities.
Details show that so far, 315 Bitcoin (BTC) mining machines were seized by the Bolivarian National Guard of Puerto Ordaz in Venezuela (also known as the Armed Forces of Cooperation and part of the Ministry of Defense in the country).
The owners of these mining rigs were told that they did not possess the necessary permits to own and operate the machinery. Also, they were not authorized to be transporting the machines during the COVID-19 quarantine.
Under the current legislation, we can see that Venezuelan citizens interested in conducting cryptocurrency related mining activities must obtain the appropriate permits from a government office called the National Superintendence of Cryptoactives. The owners who fail to obtain these permits risk being fined and having all of their equipment confiscated.
En el PAC “Peaje Guayana” del @GNB_BolivarD625, se retuvieron 315 máquinas Bitcoin que eran transportadas en un camión 350, por no poseer la permisología emitida por la Superintendencia Nacional de Criptoactivos. #6Jul #FANB GNBCuidandoDelPueblo #CuarentenaRadicalPreventiva pic.twitter.com/d9dJGgThLw
— GNB BOLÍVAR 😷👍 (@GNB_CZBolivar) July 6, 2020
The official account of the commander Adolfo Rodriguez Cepeda took it to Twitter, announcing the seizure on Monday. He also said that the Bitcoin mining machines were retained “for not having the permit issued by the National Superintendence of Cryptoactives and Related Activities (Sunacrip).”
For those of you unfamiliar with it, Sunacrip is the highest authority on cryptocurrencies in Venezuela and the main regulatory body for digital assets. As they said, the seized machines are Antminer S9s, according to the local crypto news outlet CriptoNoticias.
Meanwhile, Antminer S9 is the most popular last-generation miner for Bitmain which is now barely profitable, according to research conducted by The Block in May. Yet, these machines contributed around 23% of Bitcoin and its hash rate as of May.
Currently, the Bitcoin news show that Antminer S9 are very popular and available at very low prices ranging from $100 to $300. That being said, some estimates show that at the highest price, the hundreds of Bitcoin machines which were seized are worth about $94,500.
It is also worth noting that cryptocurrency mining is legal in Venezuela but requires previous registration with Sunacrip. That being said, all of the seized hundreds of Bitcoin mining machines were probably unregistered ones.
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