Makhachkala unplugs 408-device bitcoin farm

Dagestan’s power utility uncovered a large cryptocurrency-mining farm in Makhachkala that was illegally connected to the grid, according to acting director of Dagenergo, Arsen Gadzhiev.

He said the facility hosted 408 ASIC miners.

The amount of stolen electricity exceeded 27m kWh. Damages were estimated at more than 180m rubles.

Case materials have been handed over to law-enforcement agencies.

In September 2024, Dagestan law enforcement discovered 17 bitcoin miners located underground.

The region is among the Russian jurisdictions that have imposed a ban on cryptocurrency mining and participation in mining pools from January 1, 2025 to March 15, 2031.

In July, Russia adopted baseline rules for cryptocurrency mining. ForkLog examined their impact on the industry in a separate piece. The country also set an energy-consumption limit for individual miners.