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AI Legalese Decoder: Unraveling DOJ Charges in Crypto Mining Case Amidst US Energy Scrutiny

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## legal Charges Against School District Staff Members for Running Crypto Mining Operation

The United States Department of Justice (DoJ) has recently brought charges against two senior staff members of the Patterson Joint Unified School District. They have been accused of allegedly operating a crypto mining operation on the premises of the district’s ten schools, utilizing school resources, and running up the electricity costs.

According to the DoJ’s recent statement, Jeffrey Menge, assistant superintendent, and chief business officer of Patterson Joint Unified School District, along with Eric Drabert, IT director for the school district, worked together to operate a crypto mining farm and transferred all the cryptocurrency into their own wallets.

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The DoJ’s statement did not provide clarity on how many schools in the district were used for the crypto mining operation, which comprises 10 schools serving about 6,200 students. Additionally, the type of crypto mined was not disclosed.

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Some of the most commonly mined cryptos include Bitcoin (BTC), Monero (XMR), Ravencoin (RVN), and Dogecoin (DOGE).

According to recent data from CoinGecko, mining a single Bitcoin as a solo miner requires about 266,000 kilowatt-hours. This would take approximately seven years, requiring a monthly electricity consumption of 143 kWh.

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The DoJ also claimed that Menge embezzled a total between $1 million and $1.5 million, while Drabert stole between $250,000 and $300,000.

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This comes after the U.S. energy regulator’s recent crackdown on crypto miners as part of an initiative to decrease energy waste in the nation.

On Feb. 1, the United States Department of Energy (DOE) declared that crypto miners must report their energy consumption for the upcoming six months. This move follows concerns about the recent surge in Bitcoin prices, leading to an influx of crypto mining activities.

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Just a day before this, the U.S. Energy Information Administration (EIA) said it will be releasing a survey to measure the electricity usage of local crypto mining companies starting next week, with miners ÔÇ£required to respond with details related to their energy use.ÔÇØ

This is not just a concern within the U.S, regulators worldwide are making efforts to control excessive electricity consumption.

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In December 2023, Cointelegraph reported that Indonesian police authorities closed down 10 Bitcoin mining operations, accusing the organizers of electricity theft amounting to nearly $1 million.

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