Abu Dhabi authorities are reportedly cracking down on cryptocurrency mining operations on its farmlands. They are going so far as slapping violators with a steep Dh100,000 fine and a slew of penalties.
The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) has reaffirmed its strict ban on crypto mining activities.
They authorities believe these activities are a far cry from the agricultural and livestock purposes farms are meant to serve.
It is noteworthy that this move comes as the emirate balances its embrace of digital currencies with a firm stance on protecting its agricultural heritage.
Why and How is Abu Dhabi Banning Crypto Mining on Farmlands?
The authority’s latest ban and fines follow several farms misusing agricultural land to run energy-intensive crypto mining rigs.
This practice threatens the sustainability of Abu Dhabi’s farming sector and violates biosecurity protocols.
ADAFSA is pretty strict on their stance. Violators, whether farm owners or tenants, face a hefty fine of 100,000 Dirhams.
Meanwhile repeat offenses will get double penalties including suspension of all farm support services, electricity cutoffs, and confiscation of mining equipment.
Seized gear will be handed over to relevant authorities for further legal action.
An ADAFSA spokesperson declared that “Crypto mining has no place on our farmlands.”
“These activities undermine the emirate’s commitment to agricultural sustainability and food security.”
The authority is urging all farm operators to stick to approved agricultural and livestock activities, warning that non-compliance risks losing access to critical support programs.
Is Abu Dhabi against Crypto?
The answer is, No. In fact, this regulatory clampdown contrasts with Abu Dhabi’s progressive stance in embracing cryptocurrency elsewhere.
The emirate has recently rolled out crypto payment options for taxi fares, and even court fees.
Meanwhile in the rest of the United Arab Emirates, in Dubai and Ras Al Khaimah also crypto has been embraced with open arms, including in the government sector.
In this context, ADAFSA’s message is clear. While UAE will continue to be a leader in Asia for crypto innovation, crypto mining belongs in data centers, not on farmlands.