The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) has officially reaffirmed a prohibition on cryptocurrency mining on agricultural lands within the emirate. Abu Dhabi Media Office
Mining crypto on farms is now considered outside the permitted uses of farmland, which is strictly for agricultural and livestock activities.
Penalties & Enforcement
| Type of Penalty | Details |
|---|---|
| Fines | AED 100,000 (approx. US$27,000) for first time offenders. Penalties double for repeat violations. |
| Service Suspensions | Farms violating the ban will lose access to government support programs and services. |
| Electricity Disconnection | Power will be cut off for farms that mine crypto. |
| Confiscation of Equipment | Mining hardware used in violation will be seized. |
| Legal Reference & Further Action | Violators will be referred to the relevant authorities, whether they are farm owners or tenants. |
Why the Ban?
- Sustainability & Land Use: The rule emphasises that farmland should be used only for agricultural and livestock activities. Crypto mining, which is energy-intensive and often consumes large electricity and infrastructure resources, conflicts with these land-use intentions.
- Environmental & Biosecurity Concerns: Misuse of farms undermines the region’s sustainability goals and potentially impacts biosecurity by diverting resources from food production
- Regulatory Clarity: There were detected violations in several farms, prompting the authorities to clarify the law and crack down on misuse.
Broader Implications
- Farmers & Tenants in Abu Dhabi must now strictly ensure their land is used only for approved agricultural purposes. Using land for crypto mining opens them to serious penalties.
- Energy Regulation becomes more enforced: Electricity usage in non-agricultural sectors (even if located on farms) is being regulated more strictly.
- Precedent for Other Emirates / Regions: This ban may influence or mirror similar policies elsewhere in the UAE or in other countries concerned with land misuse and energy consumption.
