Fire at South Korean Crypto Mining Center Destroys 110 Rigs

A fire broke out at a crypto mining center in South Korea, resulting in the destruction of approximately 110 mining rigs. Firefighters confirmed the incident on June 24. Although only 30 of the rigs were operational when the fire started, the entire facility suffered significant damage.

What Caused the Fire?

The fire occurred at 12:36 am on June 24 in a building located in the Samcheon District of Wansan Neighborhood in South Jeolla Province’s Jeonju. Emergency rescue workers confirmed that the building was equipped with crypto mining machines. The fire consumed part of the building, covering an area of approximately 33 square meters. Tragically, all 110 mining rigs were destroyed in the blaze. The local fire department estimated the property damage at over 9 million won (approximately $6,481).

Authorities are still investigating the exact cause of the fire. While witnesses near the scene are being interviewed, firefighters consider arson an unlikely cause. However, the specific cryptocurrencies being mined by the affected rigs remain undisclosed.

Crypto Mining in South Korea

Despite the popularity of cryptocurrencies in South Korea, large-scale industrial crypto mining operations are relatively scarce within the country. One contributing factor is the high cost of energy, with gas prices surging in the industrial sector over the past decade. Household gas prices have also risen significantly in recent years. In 2023, the government raised electricity rates, and further price increases are anticipated next month. Consequently, many South Korean crypto mining collectives have turned to overseas mining projects.

Additionally, scammers have targeted the South Korean crypto community with suspected “fake” crypto mining-related schemes. In 2023, police issued warnings about a surge in crypto mining-themed dating scams, urging victims to invest in overseas-based mining pools .