A new law banning cryptocurrency mining on agricultural farms has come into effect in the United Arab Emirates. This move is part of a comprehensive program to support farmers, which includes incentives and subsidies for the implementation of modern technologies aimed at increasing food production.
The reason for this ban
Authorities fear that the widespread use of electricity for crypto mining could lead to a shortage of resources needed to meet the needs of agriculture. Therefore, mining is now prohibited on farms where the latest technologies can be used to increase production efficiency.
Penalties for violations
The penalty for violating this law can reach up to 10,000 dirhams, approximately equivalent to 2,722 US dollars. This measure is intended not only to preserve energy resources but also to support sustainable agricultural development in the country.
Growth of cryptocurrency trading
Interestingly, while UAE authorities are concerned about energy consumption issues, Bitget Research analysts predict an increase in the number of cryptocurrency traders in the country. According to their forecasts, by the end of 2024, over 700,000 UAE residents may be conducting daily transactions on global cryptocurrency markets. This growth underscores the significance of the cryptocurrency sector in the region, despite government actions aimed at regulating its impact on other key industries.
