Georgia Cracks Down on Illegal Bitcoin Mining After $9.4 Million Loss

Mestia’s electricity usage surged to 133 million kWh in 2025 due to unauthorized crypto mining, costing up to $9.4 million annually. Georgia is targeting illegal Bitcoin mining in Mestia after the region’s electricity consumption hit 133 million kilowatt-hours in 2025, far

Mestia’s electricity usage surged to 133 million kWh in 2025 due to unauthorized crypto mining, costing up to $9.4 million annually.

Georgia is targeting illegal Bitcoin mining in Mestia after the region’s electricity consumption hit 133 million kilowatt-hours in 2025, far exceeding the 10 million kWh average for similar areas. The surge caused financial losses of 20-25 million lari, or up to $9.4 million annually.

The country’s low electricity costs, driven by hydropower, have made it a hub for crypto mining. Bitfury and other firms established operations there, benefiting from tax exemptions and industrial zones. However, unauthorized mining has strained local infrastructure.

Authorities will implement metering to identify illegal operations while preserving free electricity for residents up to a set limit. The crackdown aims to curb financial losses without disrupting legitimate consumption.

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