The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) has taken a firm stance against cryptocurrency mining on agricultural land, reinforcing its ban amid recent violations.
According to the agency, this move aims to prevent energy-intensive mining activities from encroaching on farming areas meant for cultivation and livestock, emphasizing the importance of preserving sustainable agricultural practices.
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Misuse of Agricultural Land Sparks Crackdown
ADAFSA discovered several farms diverting land and electricity supply to operate cryptocurrency mining rigs, a practice outside the legal framework governing agricultural land use.
“This clarification follows the detection of violations in several farms found to be misusing agricultural land forcryptocurrency mining – an activity that contradicts the core purpose of farm use, which is strictly limited to agricultural and livestock activities as outlined in applicable legislation,” the regulator explained. “As a result, ADAFSA will suspend all services and support provided to non-compliant farms.”
ADAFSA considers such activities harmful to agriculture’s core purpose and detrimental to biosecurity and sustainability. In response, it announced it would suspend all agricultural services and support for farms that were found to be misusing their land.
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To deter further breaches, ADAFSA has tightened penalties. Farms caught mining cryptocurrencies will face fines of AED100,000 (approximately $27,000), doubling for any repeat offenses.
The authority will also suspend agricultural support services, disconnect power to the properties involved, confiscate mining equipment, and refer offenders to other legal bodies.
Protecting Agricultural Sustainability and Resources
The authority stresses that allowed activities on farms remain strictly limited to agriculture and livestock as per existing legislation. ADAFSA calls on all farm owners and workers to comply to avoid disruptions to farming operations and government aid.
The crackdown highlights the growing global concern about the environmental impact of cryptocurrency mining, particularly its high energy consumption.
This ban aligns with similar policies worldwide, including a recent six-year prohibition in several Russian regions aimed at limiting crypto mining’s energy draw.
Abu Dhabi’s move reflects a broader effort to regulate electricity demand and ensure agricultural land serves its intended productive role without unauthorized energy strain.
By enforcing these regulations, Abu Dhabi seeks to safeguard its agricultural sector, ensure food security, and uphold sustainable land use in an environment facing increasing pressures from emerging energy-intensive technologies.
This article was written by Jared Kirui at www.financemagnates.com.
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