Borneo authorities seize illegal crypto miners running off stolen power

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Authorities within the city of Miri on the island of Borneo shut down an unlawful cryptocurrency mining operation and seized tools following a tip off from the general public.

Based on native information outlet Borneo Post, Sarawak Power found the operation, which included 34 cryptocurrency mining servers that had been working utilizing stolen electrical energy by means of cable tapping.

Authorities seized all of the tools used within the operation, together with servers and tapping cables, whereas native police are actually investigating the newest mining operation to be taken down on the island.

Cryptocurrency mining servers discovered at a shophouse in Marina Sq., Miri. Supply: The Borneo Put up

Sarawak Power estimated that the operation was using round 6,000 ringgit a month ($1300) price of stolen electrical energy. An announcement from the utility famous that though Sarawak affords a few of the lowest power costs in Malaysia, power theft stays a difficulty.

One other public tip-off earlier in 2023 noticed over 137 cryptocurrency mining servers seized by authorities within the state of Senadin, by which Miri is situated.

Related: Bitcoin block 800,000 mined — What’s next?

As Cointelegraph lately explored, Bitcoin (BTC) miners proceed to climate a chronic bear market that has put many operations below pressure. This in flip has led to plenty of mining corporations and operators to sell BTC in record numbers over the previous couple of months.

The Bitcoin mining ecosystem has additionally recorded plenty of essential metrics, with the network hash rate hitting all-time highs in 2023 which has coincided with corresponding highs for community problem.

Whereas this sometimes signifies that the Bitcoin community is at its most resilient with a document variety of miners competing for block rewards whereas securing the community, it additionally locations pressure on smaller operators that wouldn’t have the economies of scale of bigger operations.

Moreover, operators which have decrease electrical energy costs additionally stand to be extra worthwhile, which is one other driving issue behind the propensity for unlawful mining operators to steal electrical energy from the grid. This removes the electrical energy operating prices of mining, which implies unlawful operators can financial institution earnings to repay {hardware}.

Collect this article as an NFT to protect this second in historical past and present your assist for impartial journalism within the crypto area.

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