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Home Crypto Bitcoin

Malaysian Police Dismantle Crypto Mining Syndicate in Power Theft Raid

by Thomas Babychan
May 3, 2025
in Bitcoin, Blockchain, Crypto, Crypto Exchanges, Crypto Regulation, Mining, News
Reading Time: 2 mins read
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Malaysian authorities have seized 45 bitcoin mining machines during coordinated raids in Hulu Terengganu and Marang districts, as part of an ongoing effort to combat illegal cryptocurrency mining and electricity theft. The operation, known as Op Letrik, was conducted by the Terengganu police in collaboration with Tenaga Nasional Berhad (TNB), Malaysia’s national electric utility company. The raids took place at two separate premises—a residential property in Bukit Perpat and a commercial space in Wakaf Tapai—both believed to be modified to illegally draw electricity for unlicensed bitcoin mining.

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The seized equipment, valued at approximately RM225,000 (around $48,000 to $53,000 USD depending on conversion rates), included mining rigs and various tools associated with cryptocurrency mining. Terengganu police chief Datuk Mohd Khairi Khairuddin confirmed that the premises had been tampered with to bypass electricity meters, leading to estimated monthly losses of RM36,000 (roughly $7,700 to $8,500 USD) for TNB. This form of electricity theft not only causes financial losses but also poses safety risks due to the possibility of electrical fires from unsafe wiring and overloads.

Although no arrests were made during the raids, authorities have launched an investigation under Section 379 and Section 427 of Malaysia’s Penal Code, which deal with theft and mischief causing loss, respectively. Charges may also be brought under Section 37 of the Electricity Supply Act 1990. If convicted, individuals involved could face up to five years in prison, fines of up to RM100,000, or both.

This is not the first time Malaysia has cracked down on illegal bitcoin mining operations. Similar actions in recent years include the high-profile 2021 seizure of over 1,000 mining machines in Sarawak and the 2025 discovery of rigs following an explosion in Purnama. These cases illustrate the continuing challenge Malaysian authorities face in addressing electricity theft linked to cryptocurrency mining. The problem remains widespread and recurring, with officials estimating hundreds of millions of ringgit in losses every year due to such activities.

Tags: #Crypto MiningBitcoin miningbitcoin mining banBitcoin Mining Councilcrypto mining scam
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Thomas Babychan

Thomas Babychan is an experienced business and economic journalist with a focus on international trade, stock market, banking, and multilateral organizations. He also has expertise in international relations and diplomacy.

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