3.5 Years of Detention On Bitcoin Miner-Beijing: Xu Xinghua, a Chinese national has been sentenced for 3.5 years of confinement for sneaking power from a train station to fuel  Bitcoin (BTC) mining operations. This was reported by a Chinese local media house, The Paper.

Considering the reports from The Paper, the Court’s ruling was served on September 13 at the Datong Railway Transport Court (DRTC) in China’s northern Shanxi province.

Along with the sentencing of 3.5 years, DRTC fined the convict 100,000 yuan ($14,500) and ordered him to cover the cost of the electricity incurred during the operation.

Xinghua sneaked the electricity from one of the factories at Kouquan Railway between November and December 2017. Which powered his 50 Bitcoin miners, and three electric fans around the clock. The document further reveals that five of the mining machines were damaged during this period.

As of April 2018, he was said to have successfully mined 3.2 Bitcoin, earning 120,000 yuan (about $17,400) while running up an electricity bill of 104,000 yuan ($15,000). Apparently, similar theft has occurred in past.

Similar Incidents:


3.5 Years of Detention On Bitcoin Miner-In a similar incident between April and May this year, authorities in China arrested a man for allegedly stealing a significant amount of power to fuel a clandestine cryptocurrency mine in the Anhui Province.

During the siege, the authorities recovered 200 computers that were used for Bitcoin and Ether mining. The whole incident came to light when the local power grid company reported a spike in electricity consumption.


Russian nuclear scientists were arrested for using a supercomputer to mine Bitcoin. The supercomputer was housed in the Federal Nuclear Center in Sarov, a restricted area with high security. The Soviet Union’s first atomic bomb was developed at the center. Which is also known as the Russian Research Institute of Experimental Physics.

Something to know about Crypto-mining:

3.5 Years of Detention On Bitcoin Miner-Bitcoin mining, in general, Crypto-mining, is basically competitive bookkeeping: miners build and maintain a permanent ledger of every transaction, known as a ‘blockchain’. In order to do so, they have to complete a cryptographic proof-of-work problem. A ridiculously labor-intensive math puzzle that requires an enormous amount of computer power and electricity. When computer processing power is provided to the cryptosystem, you’re rewarded in Bitcoin.

That’s even more enticing if you have one of the world’s most powerful computers at your disposal, for free. The temptation was obviously overpowering.

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