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Canadian Bitcoin Mine Operator Facing $7 Million Fine

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Canadian Bitcoin Mine Operator Facing $7 Million Fine for Setting Up Power Plants Without Permission. Link Global, a bitcoin miner based in Canada, is facing a punishment of up to $7 million for constructing power plants to fuel its miners without getting authorization from the authorities. The firm claims that if the penalty is imposed, it will be a devastating blow to its finances because numerous power stations were built without following legal processes.

After establishing a bitcoin mining business with power plants without the authorization of the Alberta government, a bitcoin mine operator in Canada might face a punishment of up to $7 million. Link Global began operations in Alberta by constructing four gas generators outside Edmonton in Sturgeon County, as well as a mine in Kirkwall. Moreover, none of these locations, according to reports, followed the Alberta Utilities Commission’s rules.

Neighbouring towns complained about the noise the sites produced, which prompted the lawsuit. Authorities alerted the firm earlier this year, on August 25, that it had failed to comply with its standards. Hence, the authorities shut down the two mining sites implicated. In such settings, each of the sites had been running for over a year.

Two types of mulcts, CEO promised shareholders

The proposed fines divided into two sections by the Alberta Utilities Commission. The first concerns the advantages received from electricity generation. The institution claims two million dollars in damages in this case. Furthermore, the other section is about the benefits of using this electricity to mine bitcoin. Thus, estimates put the figure at $5 million.

The sanctions are being challenged by Link Global, which claims they are not based on the company’s real financial reporting. To comply with current rules, it is now moving these bitcoin mining activities to new sites. Link Global CEO Stephen Jenkins told the local media:

“Link has complied with the AUC’s directives and thinks that the enforcement staff’s proposal is severe… I apologise to our stockholders, who are not deserving of this treatment. We will strive diligently to secure a favourable outcome.”

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