Share this article
Abkhazia to Punish Public Officials for Illegal Crypto Mining: Report
"District and town majors, you should make your own decisions and, whenever you find a mining farm, fire or reprimand the head of that village," the nation's president said.
Updated Sep 14, 2021, 1:24 p.m. Published Jul 13, 2021, 1:15 p.m.
Officials are secretly, and illegally, mining bitcoin in Abkhazia, the country that broke away from Georgia in 1999 and has been recognized as an independent state by only a handful nations, the country's president said.
STORY CONTINUES BELOW
During a meeting with his cabinet, Aslan Bzhania, elected in 2020, said he has been aware of covert cryptocurrency mining by some civil servants, local news outlet Apsadgil.info reported.
"Among those who own those [mining] devices are representatives of government bodies, per preliminary data," Bzhania said. "We need to investigate this very thoroughly and get rid of such people."
Abkhazia's authorities have been trying to stop illegal mining for a while but little has been achieved, he said, hinting the task might have been sabotaged from within the government.
"Every one of you can keep playing your game, but let's see who wins. District and town majors, you should make your own decisions and, whenever you find a mining farm, fire or reprimand the head of that village," Bzhania said.
Read more: Abkhazia Bans Bitcoin Mining Shortly After Legalizing It
He asked Prime Minister Alexander Ankvab and presidential Chief of Staff Alkhas Kvitsinia to identify local officials who have allowed crypto mining and suggest a punishment for each, including firing them.
Earlier this year, Abkhazia deemed all cryptocurrency mining illegal because of chronic electricity shortages in the country. Abkhazians have been experiencing routine blackouts in recent years. Electricity, however, is very cheap, and cryptocurrency mining has been thriving.
More For You
L1 tokens broadly underperformed in 2025 despite a backdrop of regulatory and institutional wins. Explore the key trends defining ten major blockchains below.
What to know:
2025 was defined by a stark divergence: structural progress collided with stagnant price action. Institutional milestones were reached and TVL increased across most major ecosystems, yet the majority of large-cap Layer-1 tokens finished the year with negative or flat returns.
This report analyzes the structural decoupling between network usage and token performance. We examine 10 major blockchain ecosystems, exploring protocol versus application revenues, key ecosystem narratives, mechanics driving institutional adoption, and the trends to watch as we head into 2026.
More For You
U.S. bipartisan lawmakers draw up tax bill with stablecoin and staking relief
New House proposal would exempt some stablecoin payments from capital gains taxes and allow stakers to defer income recognition for up to five years.
What to know:
- A bipartisan bill in the U.S. House aims to modernize tax rules for digital assets, addressing issues like excessive taxation and tax abuse.
- The PARITY Act proposes tax exemptions for stablecoins, deferral options for staking rewards, and aligns digital assets with traditional securities.
- The bill includes measures to prevent tax loss harvesting in crypto and offers tax benefits to foreign investors trading through U.S. brokers.
Top Stories
