According to utility records and media reports, Malaysian authorities have begun a nationwide crackdown on illegal Bitcoin mining after state power losses linked to miners topped roughly $1.1 billion between 2020 and August 2025.

The push targets nearly 13,800–14,000 sites suspected of tapping power without 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 task force was formed that includes the national utility Tenaga Nasional Berhad (TNB), police and other regulators. Drones fitted with thermal cameras and teams with special meters have been used to spot heat signatures and odd power draws in warehouses, shuttered shops and even residential blocks.

Bitcoin mining hardware were seized in several operations and arrests were reported in at least a few cases where evidence of meter tampering was found.

Illegal Bitcoin Mining: Estimated Losses And Numbers

The scale is large. Reports have disclosed losses of about $1.1 billion, which is roughly RM 4.57 billion, and investigators say the number of illicit premises discovered since 2020 is close to 14,000.

Authorities warned that power theft linked to mining has climbed sharply in recent years, with some sources pointing to an increase of about 300% since 2018. Many operators pick low-cost hiding spots and keep moving to avoid detection.

Legal And Policy Questions Loom

While Bitcoin mining itself is not outright banned in Malaysia, stealing power and bypassing meters is illegal under the Electricity Supply Act 1990. Officials are weighing tougher steps. Some lawmakers and energy officials have raised the option of stricter licensing, smarter metering or even temporary bans on certain operations if theft continues.

Based on reports, the effort is meant to protect grid stability and stop long running losses that hit the utility’s bottom line.

Safety Risks And Grid Strain

Beyond the money, authorities say there are safety concerns. Tampered connections and overloaded lines raise the risk of short circuits and fires, and they can damage transformers and other costly equipment.

In some areas, local residents reported flickering lights and unstable supply, which investigators link to abnormal draws found at nearby illegal mining sites. Those technical strains add urgency to enforcement.

What Comes Next

Reports suggest enforcement will rely on a mix of tech—drones, thermal scans, smart meters—and traditional policing. For now, the immediate goal is to shut down rigs, seize equipment and bring legal action against operators who took power without paying. The long term path may include clearer rules for legal miners and tighter monitoring across the grid.

Featured image from Pexels, chart from TradingView

• Authorities identified 13,827 premises involved in illicit power consumption for mining.
• TNB seized bitcoin mining machines during joint inspections.
• Smart meters are being installed to detect suspicious energy use in real time.

Malaysia is intensifying its response to rising energy losses linked to cryptocurrency mining, as new figures show widespread electricity theft across the country.

The national utility, Tenaga Nasional Bhd, has reported more than $1 billion in losses from illegal power use between 2020 and August this year.

The scale of the theft has pushed authorities to strengthen monitoring tools, expand inspections, and build new data systems as bitcoin mining operations continue to strain the national grid.

Officials now view the situation as an urgent energy security issue that requires consistent oversight.

Rising cases of electricity theft

The energy and water transformation ministry said 13,827 premises were found using electricity illegally for cryptocurrency mining during the period, according to a written parliamentary reply dated Tuesday.

Malaysia does not have specific rules governing crypto mining, but the activity becomes illegal once meters are tampered with or bypassed.

Such actions fall under offences detailed in the Electricity Supply Act.

The ministry confirmed that these illegal activities caused financial losses of 4.6 billion ringgit, equivalent to about $1.11 billion.

Mining setups require continuous and intense power consumption, which is often concealed to avoid detection.

This has allowed unauthorised operations to drain the grid at a rapid pace.

Coordinated enforcement operations

TNB has been conducting joint inspections with multiple enforcement bodies to respond to the rising cases.

The police, the communications regulator, the anti-graft agency, and other authorities have taken part in these operations.

Their coordinated actions have resulted in the seizure of bitcoin mining machines at many of the identified premises.

With illegal mining activities still increasing, TNB has shifted towards systems that support preventive oversight.

The utility has built a database holding complete records of owners and tenants of premises suspected of involvement in electricity theft related to bitcoin mining.

The ministry said the database helps identify patterns, profile high-risk locations, and support future inspections across different states.

Technology driven monitoring measures

Malaysia is also relying on real-time energy monitoring to reduce losses.

Smart meters are being installed at electricity distribution substations to track consumption patterns and identify manipulation more quickly.

These meters help detect sudden spikes or irregular behaviour, which often indicate hidden mining operations.

Real-time alerts allow TNB to respond faster before theft spreads or expands.

The country’s competitive electricity prices make it attractive for mining operators, which increases pressure on the grid and complicates enforcement.

Since mining is energy-intensive and not directly regulated, authorities are using existing energy laws supported by surveillance technologies to curb illegal consumption.

Strengthening oversight across the grid

Malaysia has chosen to enhance enforcement rather than introduce dedicated mining regulations.

Authorities are relying on interagency cooperation, improved inspection strategies, and expanded data systems to protect the utility network.

TNB continues to refine its approach, as illegal mining operations often shift locations after raids, requiring constant monitoring and updated intelligence.

The post Malaysia cracks down on crypto power theft as bitcoin mining drains the grid appeared first on CoinJournal.

One of the world’s most wanted pedophiles, who abused dozens of children between the ages of two and 16, has been captured and jailed for close to 50 years after Australian authorities tracked him down to a COVID-19 quarantine facility in Malaysia.

For at least 14 years, Alladin Lanim was found to have sexually abused dozens of children in a sleepy, seaside town called Lundu in Sarawak, Malaysia. 

The 40-year-old man posted his heinous activities on the dark web and boasted on message boards about recording his acts, according to a detailed report published by the Sydney Morning Herald. Using an anonymous online profile, he was also said to have been sharing child abuse material online since 2007, and had been linked to more than 1,000 images and videos depicting sexual abuse of minors.

“He was so prolific with so many victims, that’s why he became a high priority,” Daniel Burnicle, a detective sergeant from the Australian Federal Police (AFP), told the Australian newspaper from Kuala Lumpur. 

“He was so prolific with so many victims.”

Analysis conducted by Australian victim identification specialists initially identified a total of 34 victims who had been abused by Alladin, but authorities warned that the actual number may be higher. 

Officials on the case, trawling through records and hundreds of images, made a breakthrough last year and came across a possible image of Alladin. He was finally apprehended and jailed last month following a painstaking two-year international investigation by Australian and Malaysian authorities. “It’s just a slow, methodical burn,” Burnicle said.

“They’re going through images trying to work out where that location may be so they can follow up. It’s all very difficult with the dark web to track people.”

Alladin was apprehended at a COVID-19 isolation facility on July 5 while serving out a mandatory quarantine after returning to Sarawak, and charged with 18 counts of molesting five boys on a plantation and inducing them to watch pornographic videos by offering to let them play a mobile game on his phone. Malaysian police also say that they are pursuing one more case of child abuse involving Alladin.

He pleaded guilty in court in the state capital Kuching, and was jailed for 48 years and six months and sentenced to 15 strokes of the cane. 

In a statement provided to VICE World News on Monday, AFP commander Warwick Macfarlane said the cross-border investigation that led to Alladin’s arrest was an indication that the pandemic had not obstructed transnational policing efforts, and that authorities around the world were still working tirelessly to combat the exploitation and abuse of children.

Alladin’s arrest is the latest in a string of recent child exploitation busts by Australian authorities, following the AFP’s involvement in cracking open a global pedophile ring last year. A spokesperson told VICE World News last September that the amount of child abuse material being shared on the dark web appeared to be increasing, and that some sites hosting online child sex abuse material had crashed due to the overwhelming amount of internet traffic.

In Malaysia, reports of Alladin’s arrest shook the country – prompting outrage online about how a serial pedophile was able to operate in the country, undetected, for so long. Others referenced the case of another convicted pedophile, British man Richard Huckle – who had sexually abused scores of children in various communities in Kuala Lumpur, where he lived – and decried the laid-back reaction of authorities.

“Local authorities need to step up their game,” one Malaysian tweeted. Another wrote: “We have high profile pedophiles arrested by foreign police at least twice now. If this were left to us, these pedos would be scot free and happily ravaging new victims.”

Responding to news of Alladin’s capture by Australian police, Malaysian women’s minister Fatimah Abdullah said her ministry would better protect children against pedophiles and would continue educating not just children but also their parents.

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