Russia authorities deploy thermal vision drones in campaign against illegal crypto farms

**Russian Authorities Capture Fugitive Cryptocurrency Miner Operating Mobile Farm in the Caucasus**

Russian authorities have apprehended a fugitive cryptocurrency miner who operated a mobile mining farm in the Caucasus, evading capture for several months. The mobile coin-minting operation was eventually located using a quadrocopter equipped with a thermal camera, according to officials from the power utility in Dagestan.

### Dagestan Deploys Drones in the Fight Against Rogue Miners

Russia is increasingly turning to modern technologies—similar to those used on the battlefields of Ukraine—to identify makeshift crypto mining facilities. These unauthorized operations are causing energy shortages, equipment breakdowns, and significant financial losses by illegally connecting to the electricity grid.

This new approach has been implemented in Dagestan, a republic in the North Caucasus, where illegal digital currency mining has become widespread. Employees of Dagestan’s energy distribution company, Dagenergo, spent three months tracking down the improvised crypto farm, announced Magomedshapi Shapiev, the acting director of Dagenergo, a local branch of the Rosseti transmission network.

### The Mobile Mining Farm on Wheels

The mining hardware was installed in the cargo bay of a Gazelle van owned by a resident of the village of Tashkapur in the Levashinsky district. According to Shapiev, the man had placed 72 mining rigs inside the converted vehicle.

This is not the first incident involving the same individual. Shapiev revealed that authorities had confiscated a similar mining installation from him about a year ago during a control operation. He stated:

> “It’s worth noting that the mining farm was discovered with the same consumer who had a similar mining farm liquidated and equipment confiscated during a control operation last year.”

Preliminary estimates suggest that the unauthorized mining operation caused financial damages of approximately 1.5 million Russian rubles (around $18,500).

### Evidence of Illegal Electricity Consumption

The utility admitted that the van had been powered through an electricity meter that recorded over 152,000 kWh of consumption. However, electrical engineers suspect that the meter was tampered with to display false readings.

### Discovery via Night Vision-Equipped Drone

One of the most remarkable aspects of the case is that the mining farm was discovered using a drone with night vision capabilities. The Novye Izvestia daily published a video showcasing the operation.

Shapiev’s team began employing such UAV (unmanned aerial vehicle) technology in the summer of this year. The thermal cameras on these drones enable them to detect heat emissions from mining devices running in hidden locations such as attics, basements, and other concealed spaces.

All evidence collected from the mining-equipped Gazelle van has been thoroughly examined by technicians and handed over to law enforcement for forensic analysis.

### Russia Takes a Firm Stand Against Illegal Crypto Mining

Magomedshapi Shapiev emphasized that the offense is particularly serious since mining has been officially banned in Dagestan since the beginning of the year. Dagestan is among about a dozen Russian regions that have partially or fully prohibited cryptocurrency mining.

In 2024, Russia legalized mining but requires miners consuming more than 6,000 kWh of electricity per month to register with the state and pay taxes. Despite this, low — often subsidized — electricity rates in some regions have attracted numerous legal, amateur, and illegal miners, leading to power deficits and complaints from local consumers.

### Energy Restrictions and Enforcement Measures

Authorities across various regions—from Siberia to the Caucasus—have introduced seasonal and permanent restrictions on mining activities, with approval from the federal government in Moscow. Two more regions are expected to join this list soon, according to reports from Cryptopolitan.

The Russian government reportedly loses over $120 million annually in budget revenues due to unregistered mining operations, with less than one-third of businesses registered with the Federal Tax Service (FNS). Rogue miners face fines and confiscation of illegally minted cryptocurrency.

The seizure of the mobile mining farm in Dagestan follows the removal of one of the largest unlicensed mining installations in Irkutsk—known as Russia’s mining capital—which was dismantled by authorities in mid-October.

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