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aA New York IT supervisor has been accused of using hidden hardware to mine cryptocurrency, and of using taxpayer dollars to fund his endeavours.

Prosecutors announced Wednesday that Christopher Napoli, 42, is accused of hiding 46 specialized machines at the Suffolk County Center in Riverhead to mine bitcoin and other cryptocurrencies using the building’s energy resources. Ten of the devices have been active since February, using up at least $6,000 in electric bills. Naples has been operating in Suffolk County since 2000 and has hidden devices in six rooms at the center, according to KIRO-TV.

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Suffolk County District Attorney Timothy Sene said Naples is charged with several counts, including public corruption, grand theft and computer intrusion. If convicted, Napoli would face up to 15 years in prison.

“Cryptocurrency mining requires a huge amount of resources, and miners need to navigate how to cover all these electricity and cooling costs,” Sene said in a statement announcing the arrest. “Naples found a way to do this; unfortunately, it was on the shoulders of the taxpayers,” Ceni said.

Cryptocurrency mining is a complex process that requires a lot of electricity to fully function. Naples used district center electricity to power his appliances, which he hid under unused floorboards and an electrical wall panel, according to the Associated Press.

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Bitcoin plummeted on September 7 after El Salvador adopted it as its national currency, although the cryptocurrency continued to build support despite its rocky and volatile value.

Bitcoin ATM operator CoinFlip announced in August that it would expand to Chicago, Illinois.

Washington Examiner video

Tags: news, bitcoin, new york, crime

Original author: Asher Noteis

original site: New York County IT supervisor accused of using taxpayer dollars to mine bitcoin

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