Venezuelan Police Raid Reveals Bitcoin Mining Rigs And Rocket Launchers In Tocorón Prison

In a massive operation involving 11,000 soldiers and police officers, Venezuelan Police have they managed to reclaim Tocorón prison, which had been turned into a criminal headquarters complete with astonishing amenities after being overrun by the Tren de Aragua gang.

The gang members had created a pseudo-city within the prison walls, featuring a nightclub called "Tokio," a swimming pool, a mini zoo with tigers, lions, crocodiles, and pumas, a restaurant, and even a baseball field.

There were also areas for gambling activities, illegal cryptocurrency mining operations, and small shacks where some members lived with their families. The prison had become a place where criminals could enjoy a luxurious lifestyle, seemingly with the cooperation of some prison guards.

The raid on the Tocorón prison revealed not only the lavish lifestyle enjoyed by the gang members but also a significant arsenal of weapons, including rocket launchers, grenades, and guns with large quantities of ammunition. The fact that such dangerous weapons were found in a prison raises questions about the possible collusion between prison authorities and the criminal gang.

During the operation, there was a tragic incident in which a major lost his life after hitting his head on the door of an armoured car. Nonetheless, the operation was deemed a success by Interior and Justice Minister Remigio Ceballos, who vowed to pursue all criminals and accomplices, including four prison guards arrested for allegedly aiding the gang.

The scale of the operation was unprecedented, and it marked the first time that Venezuelan authorities had taken action against the feared Tren de Aragua gang, which had extended its criminal operations beyond the prison's walls, engaging in activities such as human trafficking, kidnapping, extortion, and prostitution.

One of the most surprising revelations was the existence of a Bitcoin mining facility within the prison. Bitcoin mining requires a significant amount of energy, and it remains unclear where the energy for the mining operation was coming from. Some speculate that the Venezuelan government may have subsidised the energy expenses, as the country has been known for its low electricity costs and a growing interest in cryptocurrency mining due to hyperinflation.

However, there is some debate among Reddit users about whether the machines confiscated were actually Bitcoin miners or Litecoin miners, which could offer better profitability relative to energy consumption.

This discovery sheds light on the challenges Venezuela faces regarding cryptocurrency mining. While the government had previously suspended Bitcoin mining operations in the country due to alleged corruption involving cryptocurrency wallets, the ban was negatively impacting the crypto-mining industry in Venezuela.

Venezuela's broader energy crisis and regulatory crackdowns have contributed to the challenges faced by cryptocurrency miners. Frequent electricity blackouts have led to authorities cracking down on mining facilities, and the ban on cryptocurrency mining has stifled an industry that had once thrived in the country.