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Tether ends $120M Uruguay Bitcoin mining project
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Tether ends $120M Uruguay Bitcoin mining project

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  • Tether abandoned a roughly $120 million Bitcoin mining investment in Uruguay after a power dispute.
  • The dispute with state utility UTE led to unpaid bills, an electricity cutoff and job losses.
  • The project highlights the importance of power costs and supply contracts for large-scale Bitcoin mining.

Tether abandoned its Uruguay Bitcoin (CRYPTO:BTC) mining project after a dispute over electricity supply with state utility UTE.

The investment was worth about $120 million, based on an assessment from a former contractor cited by Reuters.

Tether invested about $60 million in each of two mining sites in Uruguay’s Florida department.

The dispute centred on how much electricity the sites were entitled to receive under their contracts with UTE.

Microfin, Tether’s Uruguayan entity, stopped paying electricity bills in May 2025 and later sought to end the contracts.

UTE cut power to the mining sites on 25 July 2025, with local reports putting unpaid bills at nearly $5 million.

Tether later notified labour authorities that it would cease operations, eliminating 30 of its 38 local jobs, while UTE said the outstanding debt was settled in December.

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