Venezuela cracks down on Bitcoin mining amid corruption investigation
Venezuela has temporarily halted Bitcoin (BTC) mining operations as authorities investigate a corruption scheme involving the national oil and gas company, Petróleos de Venezuela. The scheme, suspected to be orchestrated by individuals within President Maduro's inner circle, is believed to have caused a potential loss of up to $20 billion. The country's Superintendencia Nacional de Criptoactivos (SUNACRIP) is playing a central role in the investigation, with cryptocurrency exchanges and payment platforms requested to suspend their operations due to their association with SUNACRIP's liquidation sales following US sanctions.
The investigation involves scrutinizing the connections between BTC miners and corrupt activities within the energy sector. Law enforcement officials are also verifying miners' authorization and documentation compliance. CoinCoinX, a Venezuelan cryptocurrency exchange, has announced a temporary cessation of operations, citing the regulatory environment surrounding cryptocurrencies in Venezuela as a reason. The duration of the probe and the timeline for resuming cryptocurrency operations in the country remain uncertain, following the crackdown on the crypto mining sector....