Bitcoin, Murder & Mafia On “Blockchain Island”

The assassination of an investigative journalist Daphne Caruana Galizia in 2017 and the web of corruption she exposed  threatens to topple the crypto-friendly governmnet of Malta amid  accusations of a “mafia state,” and “murderers”.

The protests and international scrutinyis reported to have put intense pressure on Prime Minister Joseph Muscat to resign over a national scandal: the unsolved murder of journalist Daphne Caruana Galizia.

Meanwhile, at a recent gaming conference nearby, self-proclaimed Bitcoin inventor Craig Wright was preaching the gospel of cryptocurrency and its ability to counter fraud, without a word about what was unfolding only miles away. Irony was notably absent. 

Caruana Galizia was killed by a car bomb, having for years made it her mission to expose the corruption in Malta, corroding its institutions and threatening to spread through the rest of the European Union. The question that’s gripped Malta is: who ordered her killing? 

The main suspect in the case is prominent businessman Yorgen Fenech, arrested on November 20 while trying to flee Malta on his luxury yacht. Fenech was on the board of ElectroGas, Malta’s energy supplier. The company was to be the subject of Caruana Galizia’s next exposé, before she was murdered. Days after Fenech’s arrest, new evidence emerged that put the spotlight on government ministers Konrad Mizzi and Keith Schembri. Both resigned, were questioned by police and deny wrongdoing. Schembri is believed to be especially close to the Prime Minister, who is now facing renewed calls for his resignation.

Recently, Muscat’s cabinet turned down Fenech’s request for a pardon in return for information about his alleged conspirators, and he was released on police bail.

The Bitcoin Connection
In a blog post, Caruana Galizia’s son, Paul, said his mother had been investigating possible links between Fenech, the two politicians and a gas-supply agreement with Azerbaijan before she died.

The deal with Azerbaijan’s state-owned oil and gas company, Socar, saw Malta paying nearly twice the open market rates for its gas. In 2018, emails emerged showing that ElectroGas had contemplated operating a bitcoin mining firm on its facilities. 

The correspondence details discussions about building a bitcoin mining data warehouse at the country’s main power station, Delimara, and proposed negotiations with majority state-owned grid operator Enemalta to use capacity on their network to export electricity to the warehouse.

The emails were part of a huge cache of ElectroGas documents that were leaked to Daphne Caruana Galizia shortly before her murder. But bitcoin mining was only a small part of the documentation Caruana Galizia used to call government officials out. She also accused them of operating shell companies named in the Panama Papers.

The crisis now engulfing the island is unprecedented since the 1960s. How much more will Malta’s citizens endure? What will it mean for the many blockchain companies that have set up shop on the island, drawn by its crypto-friendly policies?

Decrypt:        CNN:         BBC

You Might Also Read:

The Strange Case Of The The Missing Crypto-Queen:

Blockchain In Plain English:

 

« A Massive Datacenter On Single Chip
$5m Bounty For Russian Hacker »

Infosecurity Europe
CyberSecurity Jobsite
Perimeter 81

Directory of Suppliers

TÜV SÜD Academy UK

TÜV SÜD Academy UK

TÜV SÜD offers expert-led cybersecurity training to help organisations safeguard their operations and data.

The PC Support Group

The PC Support Group

A partnership with The PC Support Group delivers improved productivity, reduced costs and protects your business through exceptional IT, telecoms and cybersecurity services.

XYPRO Technology

XYPRO Technology

XYPRO is the market leader in HPE Non-Stop Security, Risk Management and Compliance.

Infosecurity Europe, 3-5 June 2025, ExCel London

Infosecurity Europe, 3-5 June 2025, ExCel London

This year, Infosecurity Europe marks 30 years of bringing the global cybersecurity community together to further our joint mission of Building a Safer Cyber World.

NordLayer

NordLayer

NordLayer is an adaptive network access security solution for modern businesses — from the world’s most trusted cybersecurity brand, Nord Security. 

Zybert Computing

Zybert Computing

Zybert Computing provide server solutions with built-in security and information protection features for the SME market.

AA Certification (AAC)

AA Certification (AAC)

AAC provide ISO Quality Management System certification services including ISO 27001.

Capita

Capita

Capita is a consulting, digital services and software business, providing end-to-end enterprise IT services and solutions focused around digital transformation and innovation.

Atomicorp

Atomicorp

Atomicorp, the leader in Secure Linux, is a developer of solutions for the protection and support of cloud, virtual, shared, and dedicated web hosting environments.

Quaynote Communications

Quaynote Communications

Quaynote Communications is a specialist conference and communications company focused primarily on the maritime, yachting, aviation and security industries.

Swiss Cyber Think Tank (SCTT)

Swiss Cyber Think Tank (SCTT)

The Swiss Cyber Think Tank is a business network for Cyber Risk & Insurability, providing an industry-wide networking platform for insurers, technology and security firms.

CyBOK - University of Bristol

CyBOK - University of Bristol

CyBOK is a comprehensive Body of Knowledge to inform and underpin education and professional training for the cyber security sector.

Upper Peninsula Cybersecurity Institute - Northern Michigan University

Upper Peninsula Cybersecurity Institute - Northern Michigan University

Upper Peninsula Cybersecurity Institute at Northern Michigan University offers non-degree and industry credentials relevant to emerging careers in cybersecurity.

Rayzone Group

Rayzone Group

Rayzone Group offers a wide range of Cyber Security solutions and services, providing hollistic protection suitable for both enterprises and National cyber security centers.

Trusted Security Solutions (TSS)

Trusted Security Solutions (TSS)

TSS are specialist in IT Security and providing Cybersecurity Solutions & Services combined with storage and backup.

Sourcepass

Sourcepass

Sourcepass is an IT consulting company that focuses on providing expert IT services, cloud computing solutions, cybersecurity services, website, and application development.

HCS

HCS

HCS is an IT Company and Telecoms provider with an experienced team who are dedicated to ensuring our clients business systems are protected.

Proximus Ada

Proximus Ada

Proximus Ada is the first Belgian center of excellence combining artificial intelligence and cybersecurity.

HWG Sababa

HWG Sababa

HWG Sababa is a cybersecurity provider that offers a comprehensive suite of strategic managed security solutions, services, and consultancy.

Box

Box

Box is the Cloud Content Management company that empowers enterprises to revolutionize how they work by securely connecting their people, information and applications.

Somos

Somos

From voice to messaging to fraud prevention and beyond, Somos are committed to developing innovative solutions that ensure that our ability to maintain trustworthy connections never stops.