Malaysian authorities crack down on unauthorized Bitcoin mining with police raid uncovering numerous mining machines.
Malaysian police conducted a raid on illegal Bitcoin mining operations in Malaysia on February 2025, uncovering a setup utilizing 45 mining machines drawing stolen electricity.
The crackdown emphasizes Malaysia’s ongoing battle against illegal power theft for crypto operations, likely prompting stricter regulations and enforcement. This highlights potential financial risks for landlords tied to mining activities.
45 Illegal Mining Machines Found Running on Stolen Power
The raid involved the discovery of 45 Bitcoin mining machines in a location operating on stolen electricity. Authorities targeted these activities for their fraudulent electricity use, marking another incident of enforcement against illegal crypto mining operations.
Local authorities, led by Supt Mohd Hafz Muhammad Nor, found the setup connected to power theft. The incident arose from a pattern of tenants using fake identities to rent properties, mirroring previous cases in Malaysia.
Upon arrival, we found nine mining rigs connected to stolen power supplies. – Supt Mohd Hafz Muhammad Nor, Police Officer, Malaysian Police
Landlords Face $1.9 Million Loss from Power Theft
The financial hit from illegal mining includes unpaid electricity bills pushed onto property owners, totaling $1.9 million recently. This prompts local calls for tightening landlord and tenant regulations and further investigative measures by electricity suppliers like TNB.
Government strategies have historically included destroying confiscated equipment to prevent reuse. Recent events highlight vulnerabilities in electricity supply systems and urge improvements in verification processes to deter fraudulent activities among crypto operations.
Repeated Power Theft Problems Demand Stronger Regulations
Historically, Malaysia has faced repeated power theft issues for Bitcoin mining. Comparisons suggest an ongoing vulnerability in regulatory systems, and patterns reiterate the need for stronger tenant verification methods.
Experts from Kanalcoin emphasize the importance of robust regulatory frameworks and enforcement, suggesting that stricter penalties and improved tech solutions could reduce such incidents while protecting landlords from financial exploitation.
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