Authorities in Russia’s second-largest city have dismantled a major cryptocurrency mining farm hidden inside an industrial warehouse near Mitrofanievsky Highway.
The facility, spanning several hundred square metres, was found to be siphoning off power unlawfully, causing an estimated 10 million rubles ($127,873) in damage to the local electricity grid.
The illicit farm was linked to a nearby substation via a main distribution board, allowing the operators to bypass official meters.
Video evidence released by police shows rows of mining rigs running at full capacity, with tampered electrical meters indicating attempts to conceal electricity theft.
Emergency officials and power experts assessed the scale of the operation, confirming significant strain on the city’s power infrastructure.
Images of the farm released by officials from St. Petersburg's emergency services. (Source: VK Spb Today)
The warehouse was empty when law enforcement arrived, sparking an ongoing search for those responsible.
The regional branch of the Ministry of Internal Affairs has opened a criminal case under Article 165 of the Russian Criminal Code, which deals with property damage through fraud or breach of trust.
All mining equipment has been confiscated and stored, with authorities determined to track down the organisers behind the illegal setup.
Separately, the Ministry has issued a warning about a growing fraud scheme linked to cryptocurrency trading.
Foreign call centres are reportedly contacting Russian residents, posing as trading experts from respected institutions or major financial firms.
By building trust through fake credentials and small “profit” payouts, scammers lure victims into opening accounts on certain crypto exchanges and investing money—often encouraging stakes of several hundred dollars, sometimes secured by loans.
The fraudsters then request access to victims’ accounts under the guise of managing trades, ultimately draining all funds into their own wallets.
A Ministry spokesperson said,
“Fraudsters want to give the impression that they are leading the victim by the hand through the whole process.”
Last month, a Moscow court sentenced Valeria Fedyakina, known as Bitmama, to seven years in prison for orchestrating a crypto fraud network that amassed $21.3 million.
This case underscores the increasing crackdown on crypto-related crimes across Russia.
As illicit mining farms strain infrastructure and scams prey on unsuspecting investors, Russia faces growing challenges in regulating and securing its crypto landscape.
The ongoing investigation into the St. Petersburg operation and the warnings about sophisticated fraud schemes highlight how crypto’s darker corners continue to evolve, testing authorities’ ability to respond effectively.
What measures will be required to prevent further damage and protect the public from financial loss remains a pressing question.
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