Mexican authorities shut down an illegal crypto mining farm in Puebla, seizing 300 devices and investigating electricity theft and potential money laundering.
In a significant crackdown on electricity theft, Mexican authorities have dismantled a clandestine cryptocurrency mining operation in Puebla state. The operation, located in the remote municipality of Tlaola, was reportedly siphoning power from a federal hydroelectric facility, as stated by the region's public security secretariat.
Details of the Operation
The mining site was discovered near the Nuevo Nexaca reservoir, where officials seized approximately 300 specialized mining devices, as well as transformers and satellite internet antennas. Francisco Sanchez, head of Puebla's public security service, emphasized that the considerable power consumption and noise generated by such mining operations make them detectable even in isolated locations.
The investigation is being conducted in collaboration with the Mexican Electricity Commission, the Attorney General's Office, and the Navy. Authorities are expanding their search to neighboring municipalities to uncover additional illegal mining activities.
Legal Framework for Mining
While cryptocurrency mining is legal in Mexico, unauthorized connections to power grids and energy theft are serious offenses. Previous efforts in 2025 led to the closure of three illegal mining centers in Puebla and nearby Tlaxcala.
The broader issue of electricity theft is noteworthy, with the Mexican Electricity Commission reporting that from January to July 2024, non-technical losses—including theft and illegal connections—amounted to 6,346 GWh, with an estimated cost of 13.8 billion pesos (around $817 million).
Potential Links to Money Laundering
Law enforcement is also investigating whether the cryptocurrency mined at the seized facility was used to launder money related to criminal activities. This comes as authorities ramp up scrutiny of the use of crypto assets by organized crime, with reports indicating a 55.8% rise in crypto-related money laundering activities in 2025, according to the local cybersecurity research group SILIKN.
Interestingly, public bitcoin miners have reported a 15% decrease in their hash rate during the first half of the year, reflecting the challenges facing the mining sector amidst regulatory pressures.
