A team of Russian academics claims to have developed an artificial intelligence (AI) solution capable of detecting illegal cryptocurrency mining operations. The innovation, touted as a "world's first," is designed to assist power companies in tackling one of Russia’s most pressing energy issues: unauthorized crypto mining.

According to TASS, the state-run news agency, the AI system was developed by St. Petersburg State University in collaboration with two private firms: Lartech, an Internet of Things (IoT) data transmission company, and Energomera, a leading manufacturer of electricity meters in Russia.

AI to Identify Crypto Miners and Energy Theft

The core of the new system involves AI-enhanced electricity meters capable of analyzing consumer behavior. These meters are designed to identify irregular energy consumption patterns often associated with crypto mining farms. By connecting to the power grid, the meters monitor the power and frequency of electrical signals in real time, alerting energy providers to unusual loads indicative of mining activities.

“Our AI-powered device is not just a novel innovation. It is a step towards a more transparent economy and a safer energy system,” said Dmitry Poltorak, CEO of Lartech. “It helps identify illegal power consumption and optimizes energy network operations, making them more reliable and efficient.”

The developers claim the technology can pinpoint mining activities even in residential areas, providing energy companies with actionable insights to curb illegal operations.

The Scale of the Problem

In regions with low electricity tariffs, illegal crypto miners reportedly place substantial strain on power grids, causing interruptions and financial losses for supply companies. These unauthorized operations have become increasingly common in Russia, where crypto mining has grown rapidly in recent years.

To address this, the university also collaborated with Lartech to create an "anti-fraud system" that analyzes data from smart meters to detect tampering attempts, illegal connections, and other forms of energy theft.

The announcement comes amid heightened scrutiny of crypto mining activities in Russia. Lawmakers recently proposed legislation to block private miners from accessing subsidized electricity, aiming to deter such operations.

The country has also seen a rise in high-profile cases of illegal mining. For instance, in Novosibirsk, a local government official was recently arrested for allegedly running a large-scale crypto mining farm out of his garage.

A Step Toward Safer Energy Systems

The developers of the AI meter emphasize its potential to enhance the transparency of Russia's energy economy and mitigate risks to the national grid. As illegal mining operations continue to proliferate, this technology could play a pivotal role in ensuring the stability and reliability of energy infrastructure.

Whether this innovative approach will be adopted widely remains to be seen, but its implementation could mark a significant step forward in addressing the challenges posed by illegal crypto mining.