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Mexico hunts illegal crypto mines after dam bust

Mexico expands crackdown on illegal crypto mines after dismantling a dam-powered operation with 300 computers.

  • Mexico is expanding raids on illegal crypto mines after dismantling a dam-powered operation with 300 computers in northern Puebla.
  • The clandestine site siphoned electricity from the Nuevo Necaxa dam, and authorities suspect it helped launder profits from other crimes.
  • Mexican prosecutors say the murders of keyboardist Jonathan Meléndez, his wife, daughter, and nanny may have been tied to a BTC stash worth about $177,000.

Mexican authorities are expanding their hunt for illegal cryptocurrency mines after dismantling a clandestine operation in rural northern Puebla that used 300 computers and siphoned power from the Nuevo Necaxa dam. According to local media reports, the secret facility was uncovered as Mexico cracks down on large-scale electricity theft by crypto miners.

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Puebla’s Public Security Secretariat is broadening searches to neighboring states. Its head, Francisco Sánchez, said, “This activity consumes a great deal of energy and generates a lot of noise, which is why operators seek out isolated and very remote locations.”

Footage of the dam shared by YouTube account Caminando por México shows the infrastructure involved. Authorities suspect the operation may have helped legitimize and launder money from other illegal activities.

Meanwhile, Mexican prosecutors believe that the murder of Jonathan Meléndez, his pregnant wife Ana Paula Barragán, their three-year-old daughter Sofía, and nanny Aleyda Romero was motivated by a BTC stash the killers thought was worth millions. Diego Sebastián “N” and Gerardo “N” were arrested on September 2, though no BTC was taken.

A witness later referred to a device containing 3 million pesos in crypto, worth $177,000. Legitimate BTC miners must factor in energy costs, cooling, and local regulations on commercial electricity use.

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Illegal operations, however, target weak or poorly maintained energy infrastructure that can be redirected without raising suspicion.

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