Overview

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The Kuwait Ministry of Interior (MoI) has issued a statement saying that crypto mining in the country is illegal and unlicensed. Officials from Kuwait’s Ministry of Kuwait has prohibited the use of crypto for payments or investment to combat money laundering, according to a circular by the country's financial regulator issued on Monday. Kuwait has launched a crackdown on cryptocurrency miners it accuses of being a major cause of a power crisis that has led to blackouts, as authorities seek to ease Kuwait’s Ministry of Interior has outlawed Bitcoin mining, citing excessive power consumption and violations of national regulations. In an April 22 statement, the Kuwait's recent ban on cryptocurrency mining marks a significant shift in its regulatory approach to digital assets. This comprehensive analysis delves into the legal basis Kuwait’s primary financial regulator, the Capital Markets Authority [CMA], recently released a circular declaring an “absolute” ban on all activities related to digital Kuwait officially bans cryptocurrency mining, citing legal violations and strain on the national power grid. The decision is backed by multiple laws and coordinated In May 2025, Kuwaiti authorities launched a sweeping crackdown on illegal cryptocurrency mining operations, citing a national energy emergency as blackouts gripped parts of the country.

Kuwait Prohibits All Crypto Operations, Including Mining: What You Need to Know

Kuwait has officially banned all cryptocurrency operations, including mining, marking a significant shift in its regulatory approach to digital assets. This comprehensive ban impacts everything from crypto payments and investments to the energy-intensive process of mining digital currencies.

Why the Ban?

The Kuwait Ministry of Interior (MoI) has issued a statement saying that crypto mining in the country is illegal and unlicensed. The driving force behind this decision stems from several factors, including concerns over money laundering and, crucially, the strain on the nation's power grid.

Kuwait’s primary financial regulator, the Capital Markets Authority [CMA], recently released a circular declaring an “absolute” ban on all activities related to digital currencies. According to a circular by the country's financial regulator issued on Monday, Kuwait has prohibited the use of crypto for payments or investment to combat money laundering.

The Power Crisis Connection

In May 2025, Kuwaiti authorities launched a sweeping crackdown on illegal cryptocurrency mining operations, citing a national energy emergency as blackouts gripped parts of the country. Kuwait has launched a crackdown on cryptocurrency miners it accuses of being a major cause of a power crisis that has led to blackouts, as authorities seek to ease strain on the grid. Kuwait’s Ministry of Interior has outlawed Bitcoin mining, citing excessive power consumption and violations of national regulations.

Legal Basis for the Ban

Kuwait officially bans cryptocurrency mining, citing legal violations and strain on the national power grid. The decision is backed by multiple laws and coordinated enforcement efforts. The Kuwait's recent ban on cryptocurrency mining marks a significant shift in its regulatory approach to digital assets. This comprehensive analysis delves into the legal basis and future implications of this action.

Moving Forward

Officials from Kuwait’s Ministry of Interior continue to enforce the ban, actively seeking out and shutting down illegal mining operations. The April 22 statement highlights the government's commitment to upholding national regulations and addressing the energy challenges the country faces.

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