Mexican authorities seized 300 GPU-based cryptocurrency mining rigs in Sierra Norte after discovering an illegal connection to a federal hydroelectric complex near the Nuevo Necaxa dam. Transformers, medium-voltage terminals and satellite antennas were removed and prosecutors are preparing electricity-theft charges. Forensic accountants and the CFE are investigating potential money laundering and broader network links. The utility reports 6,346 GWh of non-technical losses Jan–Jul 2024, valued at about 13.8 billion pesos (~$817M).
Mexico Seizes 300 GPU Crypto Rigs Illegally Tapping Power From Nuevo Necaxa Hydroelectric Dam
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Mexican federal prosecutors, the Navy and Puebla state police have confiscated 300 cryptocurrency mining machines from a property in Sierra Norte after investigators discovered an illegal power connection to a federal hydroelectric complex, the Puebla state security ministry said.
Officers removed transformers, medium-voltage terminals and operational satellite internet antennas from the site in Tlaola, a municipality of roughly 20,000 residents. Spanish-language outlets El País and Mexico News Daily reported the seized units were GPUs, which suggests the operation was mining coins that still rely on graphics cards rather than Bitcoin, which typically uses ASIC hardware.
Investigation And Charges
Although cryptocurrency mining is legal in Mexico, prosecutors are preparing electricity-theft charges related to the site. State security minister Francisco Sánchez said the mining activity "consumes a great deal of energy and generates a lot of noise, which is why operators seek out isolated and very remote locations. That is what alerted us." He added investigators were led to the property because of its proximity to the Nuevo Necaxa dam and the discovery of "a very large power connection."
Broader Network And Financial Forensics
Sánchez described the site as part of a broader network exploiting the Sierra Norte's hydroelectric infrastructure, with similar activity reportedly detected in neighboring states and searches extending into nearby municipalities. Local reporting says authorities have not ruled out money laundering: forensic accountants are tracing who financed the hardware and whether any proceeds or equipment were used to launder criminal gains. Mexico's Federal Electricity Commission (CFE) is participating in the probe.
The CFE estimates non-technical losses from theft, meter tampering and illegal connections at 6,346 gigawatt-hours between January and July 2024 — losses it values at about 13.8 billion pesos (roughly $817 million).
Context And Related Raids
Officials said three other mining operations were dismantled across Puebla and neighboring Tlaxcala in 2025, and that a mining farm found near the same dam last year was allegedly operated from properties tied to the electrical workers' union. Mexico's crackdown comes amid similar international enforcement: Malaysian authorities seized more than 75,000 rigs last year in a case their utility valued at $1.1 billion in losses, and Brazilian police have dismantled illegal operations in Rio de Janeiro.
What Officials Are Watching: Investigators are tracing funding and operational links to determine whether the site is part of an organized network and to identify possible financial crimes tied to the stolen electricity.
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