Malaysia seizes 75,000+ crypto miners in electricity raids

Deputy Home Minister Datuk Seri Dr Shamsul Anuar informed the Dewan Rakyat that Malaysian authorities recovered more than 75,000 cryptocurrency mining machines in over 3,000 raids nationwide between 2022 and May 2026, which led to 629 arrests.

Operations were carried out with the Royal Malaysia Police, state utility Tenaga Nasional Berhad (TNB) and local authorities. The Home Ministry is expanding enforcement by using intelligence and technology to identify likely hotspots so officials can ‘respond faster and take more precise action,’ the deputy minister added.

The campaign targets mining setups that use unauthorised electricity connections, tampered meters or operate without licences. The deputy minister noted that ‘Mining crosses into illegality when it relies on unauthorised electricity connections, tampering with meters, disrupting power supply systems or operating without the required licences.’

Mining rigs run continuously and place heavy loads on the grid. Operators often bypass or alter meters to hide consumption, leaving utilities to detect fraud when billed amounts differ from actual usage.

The seizures extend a multi-year enforcement effort. In late 2025 the energy ministry estimated roughly $1.1 billion in power losses linked to about 14,000 illegal mining sites uncovered over five years. A cross-agency committee including the finance ministry, Bank Negara Malaysia and TNB was formed to pursue offenders and reduce losses.

Enforcement has sometimes included public disposal of seized equipment. Authorities destroyed hundreds of machines in 2024, about 1,000 units in 2021 and recently disposed of nearly 985 rigs.

Owning and trading cryptocurrencies remain permitted in Malaysia, though digital assets are not legal tender. The Securities Commission Malaysia regulates digital asset activities, while Bank Negara Malaysia oversees financial stability, payment systems and anti-money-laundering compliance. The current campaign focuses on electricity theft and unsafe or unlicensed installations rather than changes to broader crypto policy.

Officials say the joint work between police, the utility and other agencies aims to detect and disrupt theft more quickly and limit strain on the power grid. Authorities in the region have also carried out large-scale operations linked to siphoning power to run mining equipment.