Tether abandons two Bitcoin mining sites in Uruguay after power dispute

Tether has abandoned two Bitcoin mining sites in Uruguay after a dispute with state utility UTE over how much electricity the facilities could receive, Reuters reported, citing a post from Bitcoin News on X. A former contractor estimated that Tether invested about $60 million in each site, or roughly $120 million in total. Tether announced its Uruguay expansion in 2023, calling the country a “perfect platform” because of its renewable energy supply and reliable power grid. The sites generated revenue at the start of operations, but later struggled to secure enough electricity to keep running steadily. The dispute escalated in 2025. Tether’s local entity stopped paying electricity bills, and UTE cut power to the mining sites in July. Tether then halted operations and laid off most of its staff. The related debt was settled in December. Reuters said Uruguay had been intended as a testbed for Tether’s broader Bitcoin mining expansion across South America. Tether also said its global investment in energy production and Bitcoin mining has exceeded $2 billion.