Thailand Authorities Announce Raiding Bitcoin Mine Following Frequent Power Outage

Thai Authorities recently uncovered an illegal Bitcoin mining operation following a series of unexplained power outages in a local town.

The discovery was made on Sunday after the Provincial Electricity Authority (PEA) and local policeraided a residence in Ratchaburi, a provincejust west of Bangkok.

This incident adds to the growing global concerns about illegal crypto mining and the associated impact on the power grid.

Thailand Bitcoin Mine Raid

The increasing reports of power disruptions over the past few weeks prompted the recent raid. Jamnong Chanwong, a chief district security officer, suggested that these outages likely coincided with the illegal mine becoming fully operational.

Bitcoin mining, which requires vast electricity, has consumed a considerable share of the town's power supply. However, despite the voracious electricity consumption, the mine operator paid minimal fees. This discrepancy raised suspicions and ultimately led to the raid.

Interestingly, despite uncovering the illegal operation, Thai authorities did not make any arrests at the site.

This incident highlights a growing trend in Southeast Asia, where countries like Thailand have become hotspots for Bitcoin miners. The region's appeal lies in its skilled labor force, affordable electricity, and robust infrastructure, attracting many miners.

Meanwhile, Thailand is not alone in dealing with the challenges of illegal mining operations.

Last week, Malaysian authorities destroyed nearly a thousand Bitcoin mining machines valued at approximately $452,500. This move was part of a broader crackdown on electricity theft linked to crypto mining.

The Sepang district police also arrested seven individuals earlier this month for allegedly running illegal Bitcoin mining operations using stolen electricity.

Malaysia's Effort to Combat Illicit Bitcoin Mining

Apart from Thailand, Malaysia faces a significant challenge due to electricity theft linked to crypto mining. Akmal Nasrullah Mohd Nasir, the Deputy Minister for Energy Transition, recently highlighted the scope of this issue. He revealed that from 2018 to 2023, the country suffered losses of about RM3.4 billion ($723 million) due to this illicit activity.

The Malaysian government has launched an aggressive campaign to combat this issue. Their strategy is twofold: First, they are working to enhance the country's green and renewable energy infrastructure to promote sustainability. Second, they are cracking down on illegal electricity use with several enforcement actions.

Since 2019, energy authorities have closely monitored areas of high energy consumption, leading to numerous raids and arrests. These operations have targeted illegal digital asset mining setups that have contributed to the theft.

During a recent event in Balakong, Mohd Nasir emphasized the government's commitment to curbing illegal mining activities.

Kerajaan heboh nak laksanakan agenda peralihan tenaga sebab nak tambah sumber tenaga yang baru.

Tapi dalam masa yang sama kecurian elektrik sampai ratusan juta, ada tahun mencecah berbilion ringgit setahun berlaku di negara kita.

Ironi sungguh. pic.twitter.com/ZkWz7eIWrn

- Akmal Nasir (@akmalnasir) July 10, 2024

The authorities confiscated over 2,000 items through raids, including Bitcoin mining machines and unauthorized electrical equipment worth about RM2.2 million ($467,000).

Meanwhile, the government's efforts to combat illicit activities within the crypto space extend beyond electricity theft. In a related initiative, Malaysia's Inland Revenue Board (IRB), in collaboration with police and cybersecurity experts, has launched Ops Token.'

This operation aims to identify and penalize digital asset traders who evade taxes. Recent raids under this initiative in the Klang Valley region led to the discovery of significant unreported profits.

This encounter further illustrates the country's challenges in regulating the rapidly growing virtual currency sector.

The post Thailand Authorities Announce Raiding Bitcoin Mine Following Frequent Power Outage appeared first on The Tech Report.