Malaysia seizes over 75,000 crypto mining rigs in sweeping crackdown since 2022
More than 3,000 raids and 629 arrests underscore Malaysia's zero-tolerance approach to illegal mining operations siphoning electricity from the national grid.
Malaysian authorities have confiscated 75,578 cryptocurrency mining machines across more than 3,000 raids since January 2022, making it one of the most sustained anti-mining enforcement campaigns in Southeast Asia. Deputy Home Minister Datuk Seri Dr Shamsul Anuar Nasarah announced the figures on July 8, revealing that the operations have also led to 629 arrests.
The crackdown targets miners who have been tapping into the national electricity grid through meter tampering and unauthorized connections.
The scale of the operation
The 3,049 raids conducted nationwide paint a picture of relentless enforcement rather than a one-off sweep.
The Manjung region in the state of Perak offers a useful microcosm. Between 2022 and June 2025, authorities carried out 347 raids in that area alone, arresting 93 individuals and seizing 6,913 mining machines. That’s roughly one raid every three days in a single region.
In 2021, authorities in Miri destroyed 1,069 seized rigs valued at approximately $1.26 million, using steamrollers to flatten them in a public spectacle. They repeated the performance in 2024, crushing 985 rigs worth around $452,000.
Why electricity theft is the real story
Tenaga Nasional Berhad (TNB), the country’s primary electricity utility, has reported that electricity theft incidents have surged nearly 300% since 2018. Cumulative losses from power theft are estimated to exceed $1 billion.
The collaboration between law enforcement, TNB, and the Energy Commission reflects how seriously the issue is being treated. Advanced detection technology and intelligence sharing have been cited as critical tools in identifying illegal setups.
Authorities have also stated that no connections between police or municipal council members and the illegal operations have been uncovered.
What this means for the mining industry and investors
The seizure of over 75,000 rigs hasn’t produced a measurable impact on Bitcoin’s global hash rate so far. As enforcement tightens across Southeast Asia, operators who previously relied on subsidized or stolen electricity to maintain margins will either need to find legitimate, competitively priced power, or exit the market entirely.
The 629 arrests in Malaysia represent real criminal liability for operators who cut corners on power procurement.