Mexico seizes 300 GPUs at suspected illicit crypto farm

Mexican authorities have seized roughly 300 GPUs from a suspected illicit crypto mining farm in Puebla while investigating possible electricity theft and money laundering.

Reuters reported on Sept. 12 that investigators discovered the operation in the mountainous municipality of Tlaola, near infrastructure connected to a hydroelectric system.

The equipment included approximately 80 medium-voltage terminals, eight satellite antennas and a pedestal transformer. Authorities described the site as the fourth comparable mining operation found in the region since early 2025.

No agency has publicly identified the cryptocurrency being mined. Investigators have not named an organized crime group, disclosed related wallet addresses or announced any arrests.

Mexico crypto mining raid uncovered industrial equipment

Personnel from Mexico’s Attorney General’s Office, the Mexican Navy and Puebla’s Public Security Secretariat participated in securing the property, according to a local report published after the operation.

Authorities found around 300 specialized computers operating inside the building. The medium-voltage connections and transformer indicate that the facility had access to an industrial-scale electricity supply, although investigators have not released its measured consumption.

Satellite antennas supplied communications infrastructure in an area where fixed internet access may be limited. Officials have not identified the satellite provider or explained whether subscriber records are being sought as part of the investigation.

Residents of nearby communities told Reuters that the equipment’s mechanical noise could be heard from one kilometer away. The building stood roughly two kilometers from the nearest village, along a lightly traveled road in Puebla’s Sierra Norte region.

Puebla security chief Francisco Sánchez González said the facility’s electricity demand, operating noise and isolated location drew attention from authorities. He told reporters that officials had been following reports of suspected mining activity near the Nuevo Necaxa hydroelectric system.

Cryptocurrency mining is not prohibited in Mexico. The criminal inquiry concerns the source of the electricity and whether assets generated at the site were connected to money laundering or other illicit activity.

Electricity theft remains an allegation under investigation

Mexican authorities are examining whether the farm drew electricity without authorization from infrastructure near the hydroelectric dam. Neither the Federal Electricity Commission nor prosecutors have publicly confirmed the alleged illegal connection.

Mexico’s Attorney General’s Office declined Reuters’ request for further comment because the case remains active. Officials have not released an inspection report, estimated electricity loss or evidence showing how the facility’s power supply was connected.

“If they were stealing the electricity, the main costs of the operation would be, well — nothing,” Samuel Leon, an energy-theft specialist at Mexico’s Iberoamericana University, told Reuters. His statement was conditional because investigators have not completed their findings. Electricity commonly represents one of a mining farm’s largest operating expenses. Powerful computing units run continuously while cooling equipment removes the heat generated by the machines.

Other governments have uncovered mining sites supported by bypassed meters or unauthorized power connections. As crypto.news reported, Malaysian police seized 73 Bitcoin miners during electricity-theft raids in July 2026.

Thai authorities confiscated 996 Bitcoin mining machines after the country’s electricity authority said operators had tampered with meters. The Thai case involved confirmed meter interference, while Mexico’s Puebla investigation has not reached a comparable public finding.

Federal Electricity Commission figures cited by El País recorded 6,346 gigawatt-hours of nontechnical losses between January and July 2024. The category covered electricity theft, meter manipulation and illegal connections across the utility’s system, carrying an estimated commercial value of 13.8 billion pesos.

The national data does not measure losses from the Tlaola operation. Authorities have not disclosed when the Puebla site began operating or how much electricity it consumed.

Suspected cartel involvement has not been established

Reuters described the farm as a suspected method for laundering illicit proceeds, citing analysts who study organized crime and cryptocurrency. Mexican authorities have said they are examining whether the mined assets could have been used to make criminal funds appear legitimate.

Investigators have not publicly linked the facility to a named cartel. No evidence released so far establishes who financed, managed or benefited from the operation.

“Drug cartels appear to have reached a new level of sophistication,” Mexico-based security analyst David Saucedo told Reuters. He said installing the equipment would require technical knowledge and financial support that a well-funded criminal organization could provide. Saucedo’s assessment does not constitute an official finding. The same infrastructure could be operated by other criminal groups or independent electricity thieves, and prosecutors have not disclosed ownership records for the property or equipment.

Chainalysis Latin America specialist Caio Motta said organized crime groups seek mining locations where electricity is inexpensive or can be stolen in territory under their influence. “[Such operations may be placed where criminals] are able to steal electricity and establish a large infrastructure to mine cryptocurrency,” Motta told Reuters. Chainalysis has not published wallet-level evidence connecting the Tlaola facility to a cartel.

Mining can produce newly issued cryptocurrency through computing work. Converting criminal cash into mining hardware can create a separate income stream, but officials have not explained the suspected laundering method in the Puebla case. The lack of disclosed wallet addresses prevents an independent review of any coins produced, transfers received or exchanges used. Authorities have not identified the mining pool, software, digital asset or destination wallets connected with the seized machines.

Global illicit crypto totals require careful context

Chainalysis estimated that cryptocurrency addresses identified as illicit received at least $154 billion during 2025, compared with roughly $59 billion in 2024. The company described its figure as a preliminary estimate that could rise when researchers identify more criminal addresses.

Transactions involving sanctioned entities drove much of the increase. Chainalysis recorded a 694% rise in value received by sanctioned services and jurisdictions, while stablecoins represented 84% of the illicit transaction volume measured by the company.

The $154 billion estimate covers several categories, including scams, stolen funds, sanctions activity, ransomware and illicit services. It does not represent cartel transactions alone or the amount of cryptocurrency produced through illegal mining. According to Chainalysis, known illicit activity still represented less than 1% of total cryptocurrency transaction volume. The firm’s data covers transactions recorded on public blockchains and excludes activity that cannot be connected to identified illicit addresses.

Investigators can trace transfers on transparent blockchains once they identify a relevant address, but attribution often requires exchange records, device evidence or information from service providers. Privacy-focused assets and transactions occurring inside centralized platforms may present further limits. Motta said law enforcement agencies are becoming better equipped to investigate cryptocurrency use by organized crime. Mexican officials have not said whether blockchain analytics companies are participating in the Tlaola case.

Investigators are searching for more hidden farms

Three comparable crypto mining facilities were discovered during 2025 near the hydroelectric dam in northern Puebla, Reuters reported. The latest seizure is the fourth identified operation in the area since the beginning of that year.

Local authorities are working with neighboring states to determine whether other mining properties remain active. Officials have not named the participating states or published a timetable for inspections. Investigators are expected to examine the seized computers, internet equipment, electricity connections and property records. A forensic review could determine which assets were mined and where any rewards were sent, provided the machines retain usable data.

No public deadline has been set for an investigative report. Mexico’s Attorney General’s Office has not announced criminal charges, while the building and approximately 300 mining units remain under official custody.