Malaysia Sees 300% Surge in Power Theft Driven by Illegal Crypto Mining Raids

Malaysia has experienced a staggering 300% rise in electricity theft cases attributed primarily to illegal crypto mining between 2018 and 2024, as reported by Tenaga Nasional Berhad (TNB), the country’s largest power utility. Authorities, including TNB, the Energy Commission, and local police, have increased joint operations and nationwide raids to dismantle unauthorized mining operations. Cases jumped from 610 in 2018 to 2,397 by 2024, with public complaints rising alongside awareness of illegal crypto mining. The increased energy demands of proof-of-work blockchains like Bitcoin have incentivized some operators to bypass or tamper with electric meters, adversely affecting the nation’s power grid and causing huge financial losses. Malaysian law does not ban crypto mining but imposes severe penalties for tampering with the electricity supply, including fines of up to RM1 million (approx. $232,000) and up to 10 years imprisonment. Enhanced 'smart meter' monitoring and calls for stricter enforcement aim to curb the trend, reflecting global crackdowns as similar issues are reported in other countries like Kuwait.