Mexican authorities have dismantled a massive cryptocurrency mining operation that allegedly stole electricity from infrastructure linked to a federal hydroelectric complex. The clandestine facility was uncovered in Tlaola, a municipality in the northern highlands of Puebla, according to a September 8 report from EL PAÍS.
Illegal Connection to Hydroelectric Infrastructure
The operation reportedly housed around 300 specialized computers used for cryptocurrency mining. Investigators say the farm had been illegally tapped into infrastructure associated with the Nuevo Necaxa hydroelectric dam. During the raid, authorities seized transformers, medium-voltage equipment, approximately 300 computing units, and working satellite internet antennas.
The enormous electricity consumption and noise generated by such mining operations often drive operators toward isolated areas. Authorities reportedly acted on tips about suspicious activity near the dam before identifying the abnormal power connection.
Investigation Expands Across Region
The search is now widening to nearby municipalities and potentially neighboring states as officials investigate whether similar mining farms are operating elsewhere in the region. Investigators have not yet determined which specific cryptocurrencies were being mined, but they have not ruled out a connection to money laundering.
According to EL PAÍS, Mexican authorities dismantled three other cryptocurrency mining operations in Puebla and neighboring Tlaxcala during 2025.
A Global Challenge
The problem extends far beyond Mexico. Malaysia has faced electricity theft on a much larger scale. The country’s national utility, Tenaga Nasional, lost roughly $1.11 billion to power theft linked to cryptocurrency mining between 2020 and August 2025, according to Malaysia’s energy ministry.
In the United States, law enforcement has uncovered similar schemes. Police in Massachusetts, for example, discovered an unauthorized cryptocurrency mining setup hidden in a crawl space beneath Cohasset Middle/High School.
