Rio de Janeiro Civil Police launched an operation focusing on a Comando Vermelho operational nucleus and located a crypto mining setup with roughly 30 computer systems organized on cabinets in a room on an apparently deserted lot.
The farm drew energy from a clandestine electrical connection operating instantly from a utility pole. The machines carried high-capacity followers and exhaust techniques, together with remote-monitoring {hardware}.
As G1 reported, police are investigating whether or not the faction used the construction for cash motion or laundering.
The bodily configuration already describes the likelihood {that a} prison group with territorial management can convert stolen electrical energy into moveable digital worth.
Territorial management supplies entry to house and utilities, a clandestine electrical energy connection eliminates the first working value, and the mining output converts instantly into moveable worth.
Stolen electrical energy is the load-bearing factor of that mannequin, since mining solely makes financial sense when electrical energy is reasonable, sponsored, or free.
Cambridge’s Bitcoin Electrical energy Consumption Index methodology identifies electrical energy as one among mining’s highest working prices. Brazil’s electrical energy regulator, ANEEL, reported that vitality theft and different non-technical losses value the nation roughly $2 billion in 2024, with Rio de Janeiro among the many states recording the best ranges of energy theft.
At 1.5 kilowatts per machine, 30 computer systems would draw about 45 kilowatts, consuming about 32,400 kilowatt-hours per thirty days. At $0.20 per kilowatt-hour, that’s $6,400 in prevented month-to-month electrical energy prices, an actual working benefit delivered with out fee.
The unknowns are the {hardware} kind, the coin mined, the hash fee, and whether or not the crypto was ever cashed out. Stolen electrical energy removes one among mining’s highest variable prices no matter these unknowns.
Comando Vermelho’s infrastructure evolution
The UK Residence Workplace identifies Comando Vermelho as one among Brazil’s two largest organized prison teams alongside PCC, with territorial attain throughout city favelas, border areas, and the Amazon.
The group originated in Rio’s jail system within the late Nineteen Seventies, increasing into worldwide cocaine trafficking and management of working-class neighborhoods the place armed teams typically handle fundamental providers, together with fuel, web, and transportation.
AP reported in 2025 that Rio police accused Comando Vermelho of coercing over 300 bike drivers into utilizing a clandestine ride-hailing app in Vila Kennedy, producing as much as $200,000 per thirty days, with income allegedly funneled via shell corporations to finance drug trafficking.
On Might 4, native information Folha reported that CV had intensified its presence in unlawful gold mining close to Brazil’s border with Peru, treating gold as a worthwhile and secure various to cocaine and utilizing the exercise for funding and cash laundering.
| Exercise | Managed useful resource | Income logic | Why it issues |
|---|---|---|---|
| Drug trafficking | Territory, armed management, routes | Conventional illicit commodity circulate | Core historic enterprise |
| Clandestine ride-hailing app | Native transport networks | Charges from coerced drivers / shell-company flows | Reveals management over city providers |
| Unlawful gold mining | Land, extraction zones, cross-border entry | Gold as funding and laundering automobile | Reveals transfer into commodities |
| Crypto mining setup | House, stolen electrical energy, {hardware} | Converts unpaid energy into digital worth | Reveals doable transfer into crypto manufacturing |
Every exercise monetizes territory and managed assets as a standalone income line, with transaction flows that run exterior the cash-and-drugs channels investigators have traditionally focused.
The Rio findings additionally sharpen the present image of crypto crime in Brazil.
Folha reported on Might 9 that Brazil’s Federal Police seized $14 million in crypto in 2025, with seized belongings showing throughout drug trafficking, cash laundering, human rights violations, environmental crimes, and on-line fraud.
On Might 12, a nationwide operation spanning 16 states deployed 165 search-and-seizure warrants and 71 arrest warrants centered on drug trafficking, prison factions, and cash laundering.
Chainalysis’ 2026 Crypto Crime Report described the illicit on-chain panorama as having constructed large-scale infrastructure to assist transnational prison networks procure items and launder crypto.
A Malaysian comparability supplies the stolen energy mannequin with international context, as experiences have famous that Malaysia’s nationwide utility, Tenaga Nasional, misplaced greater than $1 billion to unlawful energy use by crypto miners between 2020 and August 2025.
Malaysian authorities responded with raids, sensible meters, and databases of suspicious premises.
The place the grid path leads
Within the bull case, police hyperlink the setup to faction funds, find pockets addresses or distant operators linked to CV management, and the case turns into the primary documented instance of a significant Brazilian prison faction operating crypto manufacturing as a proper income line.
The investigative perimeter would then have to develop to incorporate {hardware} procurement, energy theft, cooling gear, and utility entry.
| State of affairs | What investigators discover | What it might imply | Story implication |
|---|---|---|---|
| Bull case | Wallets, distant operators or monetary hyperlinks tied to CV management | Crypto mining turns into a part of faction finance | Main Brazilian faction could also be utilizing crypto manufacturing as a income line |
| Base case | Native operators used CV-controlled territory however with weak central hyperlinks | Territorial management enabled the setup not directly | Nonetheless reveals how gang territory can shelter crypto infrastructure |
| Bear case | Unbiased operators, no faction pockets path, restricted income | Opportunistic energy theft, not faction technique | Story turns into an area energy-theft case |
| Black-swan case | A number of farms, coordinated {hardware} purchases, alternate accounts or cross-border cash-out | Replicable prison mining infrastructure | Police may have to observe grids as intently as blockchains |
Within the bear case, investigators establish impartial operators who opportunistically used a CV-controlled space, discover no faction pockets path, and the setup generates too little income to operate as a viable operation.
Investigators seize the machines, operators face energy-theft costs, and the case closes as an area footnote.
The configuration of clandestine energy, distant monitoring, an deserted lot, and a managed neighborhood serves as a replicable mannequin for anybody with entry to a gang-controlled grid.
The energy line reveals that organized crime can construct crypto-production infrastructure from territorial management, stolen electrical energy, and off-the-shelf {hardware}, forcing investigators to look at the grid as intently as they watch the blockchain.
