Authorities raided illegal Bitcoin mining farms in the Seremban area of Malaysia and seized some of their mining machines, local media reported Wednesday.
The Seremban City Council (MBS), in collaboration with Tenaga Nasional Berhad (TNB), a multinational electricity company and the only electric utility company in Peninsular Malaysia, raided nine farms in the region.
Since the start of this year, bitcoin mining operations have been on the rise in Seremban. However, most of the farms are termed illegal due to the speculation that they steal electricity to perform their mining operations around Mantin and Nilai Impian.
The continuous electricity theft for bitcoin mining in the country forced the authorities to start cracking down illegal mining farms.
According to the Director of the MBS Law and Enforcement Department, Hamizam Ahmad, the illegal operations costs TNB Negeri Sembilan several hundreds of thousands of ringgit due to the high power consumption required by Bitcoin mining.
The locations where the activities took place are Taman Seraya, Batu 12 Jalan KL-Mantin, Bandar UTL, and Light Industrial Area. Other areas include Taman Delfina and Laman Dahlia Nilai Impian, and Taman Timur Enstek. Some of the premises were not registered by the Trade Licensing By-Laws (UKK).
“Investigations found that the nine premises were doing business without a license and stealing electricity. Although there was a meter at the top of the premises door, it was only for the use of lights to confuse the authorities,” Ahmad said, adding that they had to cut off the keys to gain access to the farms.
During the raid, the authorities discovered and seized these mining machines; 510 units of bitcoin machines, rotors (4 units), computer processing units (5 units), modems (7 units), monitors (5 units), cables (1 unit), and iron shelves (3 units).
Ahmad further noted that the “MBS will continue to monitor and conduct operations on bitcoin currency mining premises which are seen to be increasing in this district.”