Bitcoin’s Dark Energy: Malaysia Cracks Down, Seizing 14,000 Rigs Over $1B Power Theft
According to utility data and media reviews, Malaysian authorities have begun a nationwide crackdown on unlawful Bitcoin mining after state energy losses linked to miners topped roughly $1.1 billion between 2020 and August 2025.
The push targets practically 13,800–14,000 websites suspected of tapping energy with out paying. Actions have included drone sweeps, meter inspections and on-the-ground raids.
Task Force Launches Drone And Ground Sweeps
Based on reports, a multi-agency process drive was shaped that features the nationwide utility Tenaga Nasional Berhad (TNB), police and different regulators. Drones fitted with thermal cameras and groups with particular meters have been used to identify warmth signatures and odd energy attracts in warehouses, shuttered outlets and even residential blocks.
Bitcoin mining {hardware} had been seized in a number of operations and arrests had been reported in not less than a number of instances the place proof of meter tampering was discovered.
Illegal Bitcoin Mining: Estimated Losses And Numbers
The scale is massive. Reports have disclosed losses of about $1.1 billion, which is roughly RM 4.57 billion, and investigators say the variety of illicit premises found since 2020 is near 14,000.
Authorities warned that energy theft linked to mining has climbed sharply in recent times, with some sources pointing to a rise of about 300% since 2018. Many operators choose low-cost hiding spots and hold transferring to keep away from detection.
Legal And Policy Questions Loom
While Bitcoin mining itself isn’t outright banned in Malaysia, stealing energy and bypassing meters is unlawful beneath the Electricity Supply Act 1990. Officials are weighing harder steps. Some lawmakers and vitality officers have raised the choice of stricter licensing, smarter metering and even non permanent bans on sure operations if theft continues.
Based on reviews, the hassle is supposed to guard grid stability and cease lengthy working losses that hit the utility’s backside line.
Safety Risks And Grid Strain
Beyond the cash, authorities say there are security issues. Tampered connections and overloaded traces elevate the chance of quick circuits and fires, they usually can injury transformers and different pricey gear.
In some areas, native residents reported flickering lights and unstable provide, which investigators hyperlink to irregular attracts discovered at close by unlawful mining websites. Those technical strains add urgency to enforcement.
What Comes Next
Reports counsel enforcement will depend on a mixture of tech—drones, thermal scans, sensible meters—and conventional policing. For now, the rapid aim is to close down rigs, seize gear and convey authorized motion in opposition to operators who took energy with out paying. The long run path could embody clearer guidelines for authorized miners and tighter monitoring throughout the grid.
Featured picture from Pexels, chart from TradingView
