KUALA LUMPUR: Malaysia’s electricity utility lost US$1.1 billion worth of power to illegal cryptocurrency mining since 2020 in thefts the energy ministry said posed a “serious threat to the national energy supply system”.
National power provider Tenaga Nasional Berhad (TNB) also uncovered 13,827 premises that were suspected of being illegal cryptocurrency mining hubs, the ministry said in a parliamentary reply tabled on Tuesday (Nov 18).
“These activities not only threaten user safety, but also jeopardise the nation’s economic stability, increase public safety risks … and pose a serious threat to the national energy supply system,” it said.
Cryptocurrency mining is not illegal in Malaysia, but operators must comply with government regulations, including registration, environmental assessments and energy efficiency audits.
TNB has set up a database with records of owners and tenants suspected of stealing electricity to power bitcoin mining operations, the ministry said, and was working with law enforcement authorities to curb illegal mining.
Malaysian police are also ramping up operations against illegal mining, with several raids carried out on suspected dens across the Southeast Asian country since January.
Police arrested eight men in northern Malaysia two weeks ago, seizing bitcoin machines and four-wheel drive vehicles as part of the blitz targeting illegal cryptocurrency mining, the Bernama national news agency said.
