Authorities in Malaysia have seized more than 75,000 cryptocurrency mining devices across over 3,000 operations conducted nationwide from 2022 through May 2026. Deputy Minister of the Interior Datuk Seri Dr Shamsul Anuar told the Dewan Rakyat, Malaysia’s lower house of parliament, that a total of 629 people were detained over the same period.
Crackdown targets electricity theft
The operations were carried out through joint efforts between the Royal Malaysia Police, public utility company Tenaga Nasional Berhad, and local administrations. Officials emphasized that investigations targeted not cryptocurrency trading but illegal mining operations involving power meter tampering, electricity theft, and unlicensed equipment installations.
Tenaga Nasional Berhad is Malaysia’s primary electricity distributor. The company plays a central role in identifying illicit consumption at mining operations, which are known for their high, uninterrupted electricity usage.
Dr Shamsul Anuar explained that the ministry has expanded intelligence gathering and technology-driven audit methods, aiming to identify high-risk areas in advance and respond more quickly and effectively.
The deputy minister noted that strong demand for digital assets and the profit opportunities arising from their price volatility continue to drive illegal mining activities. He stressed, however, that theft of electricity and tampering with energy infrastructure can in no way be justified.
Crypto trading allowed, illicit mining methods banned
While owning and trading cryptocurrencies is legally permitted in Malaysia, digital assets are not recognized as official means of payment. Illegal activity arises when operators establish unauthorized electricity connections, alter meters, damage the power supply, or mine without the required licenses.
Malaysia’s Securities Commission oversees the country’s digital asset market, while the central bank, Bank Negara Malaysia, monitors financial stability, payment systems, and anti-money laundering regulations.
Shamsul Anuar reiterated that the prospect of profit cannot justify crimes like electricity theft aimed at reducing operating costs.
Years-long enforcement operations continue
The latest figures reflect the continuation of a broader enforcement wave that has lasted several years. At the end of 2025, the Ministry of Energy reported electricity losses of $1.1 billion over a five-year span, linked to roughly 14,000 illegal mining sites uncovered nationwide. In response, a special coordination committee was formed, bringing together the Ministry of Finance, Bank Negara Malaysia, and Tenaga Nasional Berhad.
Enforcement efforts have, at times, included dramatic measures. Authorities have previously destroyed hundreds of seized mining machines by crushing them with heavy rollers, scenes that have reappeared in public broadcasts in both 2021 and 2024.
The crackdown is not limited to Malaysia. Recent months have seen similar operations accelerate against crypto mining facilities powered by illegal electricity in other Asian markets, including Thailand and Hong Kong.
