Ukrainian Railways Branch Caught Diverting Company Electricity to Mine Bitcoin

In the most recent occasion of state employees mining cryptocurrencies at work, a unit of Ukrainian Railways (Ukrzaliznytsia) has been caught using company electricity to mine bitcoin. 

State-owned Ukrzaliznytsia stated on a press release on November 15 that its security division and law enforcement authorities had found that branch employees in the western city of Lviv had subtly been running a bitcoin mining facility, costing the state more than $40,000 in electricity. The director of the railway’s Department of Economic and Information Security, Oleg Nazaruk, had later detailed the finding.

“During the inspection of the premises where the so-called farm was located, more than 100 pieces of computer equipment were identified that were generating bitcoins. The aforementioned equipment was connected to the Ukrzaliznytsia power grid. The estimated amount of losses since the beginning of the year is UAH 1 million [$41,332],” Nazaruk stated.

Developing and circulating digital currency is banned in Ukraine under central bank rules, Ukrzaliznytsia stated.

The country has been dealing with getting comprehensive digital currency guidelines for quite a long while. Finally, there’s an administrative effort that is finally moving all the more quickly. Most recently, cryptocurrency exchange Binance was said to help Ukraine with creating rules for the industry.

A criminal case has now been filed over the unlawful Lviv mining initiative, and proof from the branch has been given to police, Ukrzaliznytsia stated.

The desire to company electricity or equipment to make quick gains in mining digital currency is one that state workers appear to struggle to fight.

A year ago, a few researchers working at a Russian nuclear weapons research facility were captured for mining cryptographic forms of money on location. Ukraine’s top law-enforcement and counterintelligence office also discovered mining hardware at a nuclear power plant this August. Elsewhere, Florida state workers, Chinese instructors, and Australian government contractors have all got into hot water over their secret mining endeavors.