Malaysia Cracks Down on Electricity Theft in Cryptocurrency Mining
Malaysian police have detained two men and seized 30 Bitcoin mining machines in an operation targeting electricity theft. The raid took place in Seri Iskandar, where investigators discovered an illegal electricity connection powering the mining equipment.
The two men were detained to assist with the investigation under Section 427 of Malaysia's Penal Code and Section 37(1) of the Electricity Supply Act 1990. This is not an isolated incident, as previous operations have uncovered widespread electricity theft by Bitcoin miners in Malaysia.
According to authorities, illegal connections used for cryptocurrency mining can cause substantial losses to utility providers, such as Tenaga Nasional Bhd (TNB), and raise fire risks. In 2024, TNB reported over RM440 million ($101 million) in electricity theft losses since 2020 due to Bitcoin mining operations.
The operation is part of a larger effort by Malaysian authorities to target premises suspected of having altered or bypassed electricity connections for cryptocurrency mining. Similar raids have taken place in Tronoh and Terengganu, resulting in the seizure of dozens of mining machines and equipment.