ACCESS Blockchain Association (Malaysia) releases report on Malaysia’s cryptocurrency mining sector

• Report reveals the major yet underutilised economic potential of a regulated cryptocurrency mining sector in Malaysia
• Urgent need for a dedicated regulatory framework for cryptocurrency mining, separate from current digital asset exchange rules

The ACCESS Blockchain Association Malaysia (ACCESS) today released its, “The Malaysian Cryptocurrency Mining Industry: Potential, Challenges, and Pathways to Growth in 2025.” 

Formed in 2017, ACCESS is a non-profit organisation dedicated to advancing the understanding, adoption, and development of blockchain technology and digital assets in Malaysia.

According to the association, the comprehensive study provides a critical analysis of the current landscape, economic potential, and strategic considerations for fostering a robust, regulated, and sustainable cryptocurrency mining sector in Malaysia. 

Commissioned by ACCESS and prepared by Internet of Values Sdn Bhd, the report highlights the significant, yet largely untapped, economic contributions that a formalised cryptocurrency mining industry could bring to Malaysia. 

These include substantial foreign and domestic investment, creation of skilled jobs, development of ancillary tech sectors like data centres and AI/HPC (high performance computing) hosting, and fiscal revenue. 

It also underscores Malaysia’s strengths, such as its growing technology ecosystem and its potential to become a global leader in Shariah-compliant mining operations. 

“This report is a crucial step towards understanding both the immense opportunities and the pressing challenges facing the cryptocurrency mining industry in Malaysia,” said Harpreet Singh Maan, president of ACCESS. “We see a future where Malaysia can be a significant and responsible player in the global digital asset space. However, to get there, we must address issues like regulatory clarity, the pervasive problem of electricity theft that unfairly tarnishes the image of legitimate operators, and the need for stable, confidence-building policies.” 

The research reveals that while illegal mining activities often dominate headlines, causing significant financial losses to utility providers like TNB and creating negative public perception, there is also a segment of legal mining operations that currently prefer to remain private due to security concerns and policy uncertainties. The report emphasises that creating a transparent, secure, and predictable regulatory environment is paramount to encouraging these legal entities to grow and contribute more openly to the economy. 

Key findings and recommendations include: 

• An urgent need for a clear framework for cryptocurrency mining operations, distinct from existing digital asset exchange regulations. 
• A call for fair and sustainable energy tariffs that incentivise legal operations and the use of renewable energy sources, aligning with Malaysia’s national energy transition goals. 
• The critical importance of reforming legislation to effectively combat electricity theft, ensuring liability rests with perpetrators and protecting property owners. 
• Strategies to improve public perception by differentiating legal, compliant mining from illicit activities. 
• A strong emphasis on stakeholder collaboration between government agencies (SC, BNM, EC, TNB, LHDN, MDEC, KD, MOSTI), industry players, Industry associations, investors, and technology providers. 

“ACCESS commissioned this research because we believe in the transformative potential of blockchain technology and digital assets for Malaysia,” Harpreet added. “Pushing for the responsible growth of the cryptocurrency mining industry is about more than just mining; it’s about fostering innovation, attracting high-value investments, developing a skilled workforce, and strengthening Malaysia’s position in the burgeoning global digital economy. This report provides a data-driven foundation for constructive dialogue and decisive action. We urge all stakeholders to engage with its findings as we collectively chart a course towards a thriving and legitimate crypto mining sector in Malaysia.” 

ACCESS Malaysia has also mapped the Malaysian Blockchain Landscape and is working on the Malaysian Blockchain Ecosystem Report. The Ecosystem Landscape can be viewed here.