Tether Closes Uruguay Project Over Power Dispute: $120M Bitcoin Mining Investment Ends

Stablecoin issuer Tether entered Uruguay in May 2023, planning sustainable Bitcoin mining with a local licensed firm and investing in energy production. The project operated two mining sites in Florida province, with estimated investments of $60 million each, totaling around $120 million.

Uruguay's state-owned power company UTE and Tether disagreed over the electricity supply contract terms. Tether's local entity Microfin stopped paying electricity bills in May 2025, notified plans to terminate the contract in June, and UTE cut off power to the mining sites on July 25. Microfin owed nearly $5 million, with monthly electricity costs around $2 million.

Tether notified Uruguayan labor authorities on November 25, 2025, of its shutdown, eliminating 30 of 38 local jobs. UTE stated Microfin had settled its outstanding debts by December. In 2025, 98% of Uruguay's electricity generation came from renewable sources.