Illegal Bitcoin mining costs Malaysian electricity company over $100m
Malaysia’s nationwide electrical energy supplier, Tenaga Nasional Berhad, has reported losses exceeding 440 million ringgit (about $101 million) on account of electrical energy theft linked to unlawful Bitcoin mining actions.
Native reporting from The Star signifies that since 2020, this theft has considerably impacted TNB’s funds, leading to a lack of 103 million ringgit in 2023 alone, based on Suhai Rizain, the director of Malaysia’s Legal Investigation Division.
The losses from crypto mining have elevated sharply over time. In 2020, TNB recorded losses of 5.9 million ringgit. This determine escalated to 140.4 million ringgit in 2021, adopted by 124.9 million ringgit in 2022, and 67.1 million ringgit final yr.
Bitcoin mining in Malaysia
Earlier this yr in July, the TNB reported comparable figuresn noting losses exceeding $755 million on account of illicit Bitcoin mining actions from 2018 to 2023.
The deputy minister of vitality transition and water transformation, Akmal Nasir, acknowledged that whereas crypto mining accounted for a small portion of whole vitality consumption, it had a major monetary influence on the nation.
Moreover, authorities seized practically $500,000 price {of electrical} gadgets linked to unlawful mining operations and launched a crackdown on tax evasion involving digital property.
The Legal Investigation Division plans to analyze the elements contributing to those substantial losses, notably the developments noticed in 2022 and 2023.
Unlawful Bitcoin (BTC) mining entails utilizing unauthorized electrical energy to energy computer systems that clear up advanced mathematical issues, enabling customers to earn Bitcoin. This follow can result in vital electrical energy consumption, which leads to theft when miners don’t pay for the ability they use.
