Bitcoin mining uses high-power computers hooked up to a global network, sucking up massive amounts of electricity in the process.

The halt pushed bitcoin lower though its losses were marginal, with the cryptocurrency last down about 1% to about RM125,000, its lowest in nearly a week.

The site was offline, replaced by a banner which read, 'This website has been siezed' and displaying the logos of German, American, Swiss and Polish law enforcement organisations.

Bankman-Fried rode a boom in the value of bitcoin and other digital assets to become a billionaire and an influential political donor in the US, until FTX collapsed in early November after a wave of withdrawals.

The Celsius move triggered a slide across cryptocurrencies, with their value dropping below US$1 trillion for the first time since January 2021, sparking worries the rout might spill over into other assets or hit other companies.

He is believed to have received RM12,000 a month to protect bitcoin mining centres in the state.

A couple allegedly sought to launder the proceeds of 119,754 bitcoin – then valued at US$65 million – that were stolen during a 2016 hack of the virtual currency exchange Bitfinex.

The largest cryptocurrency trading down 7.4% at US$33,650, its lowest since July 24, taking losses from its all-time high of US$69,000 hit in November past 50%.

Having more than trebled in value to US$60,000 between December 2020 and April, bitcoin has lost some shine to trade at under US$50,000 heading into the new year.

With assistance from Sony, Citibank and Japanese law enforcement, FBI investigators were able to obtain the private key, equivalent to a password, needed to access the bitcoin address.

This comes after an influential Indonesian ulama body declared the lucrative digital currency trade as haram.

The country's powerful Ulama Council issues a fatwa, or religious edict, as virtual currency trading soars in Indonesia and elsewhere.