Police cripple bitcoin mining operations in Demak Laut

ACP Ahsmon with SEB personnel and policemen inside the abandoned factory.

KUCHING: Police crippled a bitcoin mining operations at an industrial area in Jalan Bako, Demak Laut here on Monday (July 26).

A team comprising policemen and Sarawak Energy Berhad (SEB) personnel led by Gita police station chief ASP Mohamad Nizam Bujang conducted the ‘Ops Bitcoin’ raid on the abandoned factory around 3pm following a public tip-off.

Kuching police chief ACP Ahsmon Bajah said a 30-year-old Indonesian man was arrested while two other individuals managed to escape.

The Indonesian had no travel documents and is believed to have entered Sarawak illegally.

ACP Ahsmon (centre) showing the machines used for bitcoin mining on Monday (July 26).

“Based on the records, this bitcoin mining centre had been operating for 87 days with 170 mining rigs at the back of the building.

“During this period, they had caused losses amounting to RM110,000 through the theft of electricity via illegal wiring connection.”

ACP Ahsmon added that the centre operated on a 24-hour shift, used high-powered graphic processing units, latest application-specific integrated circuit miners and cooling systems.

When asked on the centre’s illegal profits, he said they would be investigating the exact figures based on the transaction records.

He stressed that police would work closely with SEB to hunt down those involved in stealing electricity for bitcoin mining.

The case is being investigated under Section 33(5) of the Electricity Ordinance, Section 379 and Section 457 of the Penal Code, and the Immigration Act 1959/63.