Tether's Uruguay Bitcoin Mining Project Halts After Power Contract Dispute

Reuters reported that Tether's Bitcoin mining project in Uruguay has come to a halt after a dispute with state-owned utility UTE over a power supply contract. The project was estimated to involve about $120 million in investment. The two sides disagreed on a key point in the contract. Tether said the agreed amount was a minimum guaranteed level of power supply, while UTE treated it as an upper limit. A new agreement was never signed, and electricity bills went unpaid. On July 25, 2025, UTE cut electricity to two mining sites. Tether later ended its local business and laid off most of its staff. Tether had once described the Uruguay project as its "first step" into South America's Bitcoin mining market. The company is still expanding its energy and mining presence in the region. It previously acquired 70% of renewable energy company Adecoagro and plans to use the firm's remaining power for Bitcoin mining.