Thirty machines seized from illegal Bitcoin mining farm in Malaysia

Thirty machines and one connection under surveillance. Malaysian police arrested two men after the discovery of a Bitcoin mining installation powered, according to the first elements of the investigation, by an illegal electrical connection. The operation took place in Seri Iskandar, Perak State, with the support of national supplier Tenaga Nasional Berhad.

Bitcoin: 30 machines seized from an illegal mining farm

The intervention brought together the Perak Tengah District Criminal Investigation Division and technical teams from Tenaga Nasional Berhad, Malaysia's main electricity supplier. Their inspection of a premises located in Seri Iskandar revealed wiring which would have made it possible to power the equipment without going through a regular connection.

According to the local press, the police seized 30 Bitcoin mining machines, an Internet router, a network switch and a reel of electrical cable. Two Malaysian nationals were also detained to help investigators determine their role in operating the site. No indictments or convictions have yet been announced.

The case falls under section 427 of the Malaysian Penal Code, devoted to willful damage, and section 37(1) of the Electricity Supply Act 1990. The latter notably regulates offenses relating to electrical installations and allows the supplier to claim payment for lost income and certain costs incurred.

Bitcoin mining is not banned in Malaysia. On the other hand, the activity requires a significant amount of electricity and becomes illegal when operators modify the meters or connect directly to the network to avoid billing.

Perak increases operations against electricity theft

This seizure is not an isolated case in the State of Perak. On August 31, police recovered 168 mining machines during four searches conducted in Sungai Siput and Seri Iskandar. Three premises had been identified in Sungai Siput, with 132 devices, while another 36 machines had been discovered in Seri Iskandar. The total value of the equipment was close to 500,000 ringgits, or around 100,000 euros.

In July, two other installations located in commercial premises in Seri Iskandar led to the seizure of 62 machines. Then, in June, the district police destroyed 554 devices from 25 cases investigated between 2024 and 2026.

The operating mode is often based on the occupation of poorly monitored shops or buildings, followed by a direct connection to the network. These installations reduce the costs of mining, of which electricity represents the main expense, but also expose buildings to overloads and outbreaks of fire.