In Malaysia, authorities confiscated 45 Bitcoin mining devices linked to a $8,000 per month power abuse.
Headline: Cracking Down on Power-Gorging Bitcoin Miners: Malaysia Takes Down Clandestine Syndicate
Subhead: Boom in Crypto Mining Sparks Concerns Over Energy Theft and Organized Crime
The Malaysian authorities have dealt a blow to a notorious gang of bitcoin miners, stealthily pilfering electricity across Terengganu and Marang districts. In an intensive operation codenamed Op Letrik, the Terengganu police, joined forces with Tenaga Nasional Berhad's specialists, unearthed a staggering 45 cryptocurrency mining machines, squirreled away in two chuckhole spots - a domestic dwelling in Bukit Perpat and a commercial joint in Wakaf Tapai.
The mining operation was suspected of bypassing electricity meters to dodge detection, potentially costing TNB around RM36,000 ($8,342) every month in straight-up power pilferage. To date, no arrests have been made, but the hijacked assets have been snared and transported to district police headquarters for rigorous examination.
This operation falls under three categories of penalties - Section 379 (theft), Section 427 (mischief causing loss), and Section 37 of the Electricity Supply Act 1990. If found guilty, the culprits could face a prison sentence of up to five years, a maximum fine of RM100,000 ($23,577), or both.
** Malaysia's Unsettling Bitcoin Boom**
Bitcoin mining and its hidden energy consumption have been causing ripple-effect panic waves in Malaysia. Just a few months ago, an illegal mining operation was stumbled upon in Kuala Lumpur, camouflaged within a residential property on February 13, following a fire. The authorities discovered clandestine wiring and an array of mining contraptions, hooked into power unlawfully.
Malaysia's beleaguered electricity provider, Tenaga Nasional Berhad, reported eye-popping losses totaling over $101 million as a direct result of electricity theft linked to unlawful Bitcoin mining since 2020. Combined with previous reports, the financial damages from 2018 to 2023 are expected to soar to a staggering $755 million.
The problem of illegitimate Bitcoin mining doesn't stop at Malaysia's shores. Countries like Iran and Venezuela are struggling with similar issues, as illicit mining strains their power grids, necessitating crackdowns and legislative measures.
In a brighter turn of events, investment giant Morgan Stanley announced that it would offer retail crypto trading on the E*TRADE platform. While Bitcoin and other cryptocurrencies continue to carve out their roles in the financial world, warning signals about the potential for environmental harm, financial loss, and organized crime persist. As the gaming of the system escalates, governments worldwide grapple with the need for stricter regulations and enforcement to square the circle of security, sustainability, and economic progress.
- The seized Bitcoin mining machines, found in Bukit Perpat and Wakaf Tapai, were part of an ICO (Initial Coin Offering) operation.
- The cryptocurrency tokens mined in Terengganu and Marang districts were suspected to be exchanged on decentralized exchanges (DEX).
- The Malaysian police's operation against power-gorging Bitcoin miners was covered in the general-news, along with crime-and-justice sections.
- The stripped wiring and hidden mining contraptions in Kuala Lumpur, uncovered after a fire, were reminiscent of theBitcoin mining operation busted in Bukit Perpat and Wakaf Tapai.
- The financial losses suffered by Tenaga Nasional Berhad due to power theft from Bitcoin mining since 2020 total more than 427 million Malaysian Ringgit (RM), equivalent to approximately $101 million.
- The escalating issue of illegal Bitcoin mining is not only a concern for Malaysia; countries like Iran and Venezuela face similar struggles, straining their power grids and necessitating crackdowns and legislative measures.
- As the Bitcoin boom continues, investment giants like Morgan Stanley are venturing into the crypto market, offering retail crypto trading, while also addressing the potential risks associated with environmental harm, financial loss, and organized crime.
