How They Tried to Hide Bitcoin Miners in Paraguay Between Taxis and Weeds

More than 70 pieces of equipment were found in the undergrowth of a mining farm raided in Saltos de Guairá, where 3,000 ASICs were previously seized.

As the hours pass, new striking details emerge about the mega-operation in Paraguay that found nearly 3,000 bitcoin miners that apparently no one had detected, even though they were 2,500 meters from the ANDE central station in Colonia Canindeyú. Evidence points to a link between the accused and the authorities in the largest illegal connection identified in the country, at least among those on record. 

The raid carried out in the town of Saltos del Guairá shows that the suspects had some kind of prior information. This is evident from the fact that when the police and members of the Joint Task Force (FTC) arrived, more than 90% of the equipment found was disconnected.

It was later discovered that, among the curiosities that attracted attention, some 74 ASIC machines that mined bitcoins remained hidden among the weeds in another sector of the property, located in the neighborhood of San Blas, in the department of Canindeyú. It is not known when they were moved, whether before or after the start of the operation. 

According to official information from the National Electricity Administration (ANDE), in conjunction with the Public Prosecutor’s Office, they corroborated on the premises a direct connection without meter in the establishment accused of stealing electricity to carry out bitcoin mining.

A total of 2,738 cryptocurrency processing devices, five distribution transformers were identified. One of them with a capacity of 3,150 kVA, and four without a plate of about 1,000 kVA each, with a total installed power of 7,150 kVA.

Illegal Miners Estimated at USD 2 Million

Luis Pomata, CEO of Nano Mining, was categorical about the importance of the facilities and what was found: “There is no improvisation or any kind of “domestic” operation, as has been seen in other ANDE raids.”

Regarding the quality of the pieces, Pomata indicated that “the equipment seems to be S19 models or similar, which may even have a power of around 100”. “This means that the owner or owners of these have made significant investments to acquire them.” 

“If we do a quick calculation, a used S19 is worth USD 700 locally today. This means that the 3,000 machines are worth more than USD 2,000,000 today,” he estimated. 

Given the irregularity of the connection, ANDE filed a formal complaint with the Public Prosecutor’s Office of the Criminal Unit No. 3 of Salto del Guairá for the crimes of illegal theft of electricity (Article 173), disruption of public services (Article 218) and sabotage (Article 274). 

Following a search warrant issued by Criminal Judge Guillermina González, the prosecutor in charge of the operation, Oscar Paredes, confirmed the largest illegal connection ever identified in the country. 

The discovery of this mega farm took place in the middle of the official offensive against illegal bitcoin mining. The site was located just 2,500 meters from the ANDE central station in Canindeyú, which supplies Saltos del Guairá and the region.

In the last hours, police and military personnel continued to guard the evidence found in the house, awaiting the seizure order and the definition of the transfer points for the equipment that was sealed in the building.

According to official estimates, the monthly property damage is estimated at 1,096 million guaraníes, equivalent to US$145,000, for energy theft alone. 

By Leonardo Perez