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Kuwait Interior Ministry Declares Cryptocurrency Mining Illegal, Cites Threat to Public Services

The Ministry of Interior in Kuwait has officially declared cryptocurrency mining an unlicensed and illegal activity, warning that it violates multiple national laws and poses a serious threat to the country’s electrical infrastructure and public services.

In a statement issued on April 22, the Ministry said unauthorized crypto mining operations contravene Law No. (31) of 1970 amending the Penal Law, Law No. (37) of 2014 concerning the Communications and Information Technology Regulatory Authority, Industrial Law No. (56) of 1996, and Law No. (33) of 2016 related to Kuwait Municipality.

Beyond legal violations, the Ministry stressed the high energy consumption associated with crypto mining. Officials warned that mining activities place a severe burden on Kuwait’s public power grid, leading to frequent electricity disruptions across residential, commercial, and industrial areas, ultimately affecting the continuity of essential services.

“These activities threaten public safety and the regularity of providing basic services,” the Ministry stated.

The warning comes after joint efforts by key government bodies, including the Ministry of Electricity and Water and Renewable Energy, the Public Authority for Communications and Information Technology, the Public Authority for Industry, and Kuwait Municipality.

While acknowledging that some individuals or businesses may be unaware of the legal implications, the Ministry has urged all entities engaged in crypto mining to “adjust their status quickly.” The grace period, however, is limited.

“In case of non-compliance,” the Ministry warned, “legal action will be taken, including referring violators to the competent investigation authorities to initiate proceedings under applicable laws.”

The announcement serves as a clear signal of Kuwait’s stance on unregulated digital activities, as the country moves to protect its energy resources and maintain the stability of essential infrastructure.

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