Thai authorities unplug Bitcoin mine that stole millions of baht in electricity

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The Thai Provincial Electricity Authority recently closed a Bitcoin mining facility due to their manipulation of power meters in order to illegally siphon off electricity valued in the hundreds of millions of baht.

As an analyst, I’ve just learned that in a joint operation with the Crime Suppression Division, the Phanat Nikhom district in Chonburi has been raided, leading to the seizure of 996 Bitcoin mining rigs by the PEA (Phra Maha Mokkhawitchai Foundation).

Officials found out that the farmers were altering their electrical meters to run cryptocurrency mining activities at a significantly reduced cost, causing substantial financial loss estimated at millions of Thai baht for the national electricity supplier.

The individuals who oversee the operation have not been found yet, and the Criminal Service Department (CSD) is currently seeking arrest warrants from the court.

As a researcher, I’ve found that the strategy behind this operation was meticulously designed to evade suspicion. A confidential source, who chose to remain anonymous, has provided testimony suggesting that the theft was orchestrated to take place under the cover of night. Interestingly, during the day, the power meter functioned as expected, presumably to ensure it wouldn’t arouse any suspicions.

Mining for Bitcoins involves employing powerful computers to tackle intricate mathematical puzzles, confirm transactions, and mint fresh Bitcoins. Since this operation is quite power-hungry, electricity bills become a substantial expense, causing certain miners to take unlawful measures in order to boost their earnings.

A recurring issue

Over the past year, there have been numerous instances of Thailand’s electrical grid being misused by unauthorized miners. These actions are due to a surge in cryptocurrency mining following China’s restrictions on the industry in 2021, which led to an influx of miners into Thailand.

In August 2024, the Power and Energy Authority (PEA) dismantled an identical operation located in Ratchaburi, a town west of Bangkok, following the discovery of unlicensed miners siphoning power from the local power grid. This illegal activity resulted in frequent power outages and increased electricity costs for local residents.

In a more recent development, two people hailing from Surat Thani province have been accused of illegally using nearly 10 million baht worth of electricity to run their cryptocurrency mining equipment stationed inside an empty building.

In 2022, the Department of Special Investigation in Bangkok took charge of multiple crackdowns, effectively shutting down more than 50 cryptocurrency mining facilities. These operations, it was discovered, had been draining around $10 million annually from the electricity grid through illegal consumption.

It has been discovered that similar activities are taking place in various parts of the world. As reported by crypto.news earlier, Malaysia’s national power company revealed in a report dated October 2024, losses exceeding $100 million due to stealing electricity to power Bitcoin mining equipment.

These events have ignited a worldwide reevaluation, leading various governments to strengthen rules, reduce energy consumption, increase taxes, and even enforce prohibitions in an effort to exercise tighter oversight over the cryptocurrency mining sector.

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2025-01-09 11:14