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Tether Backs Green Bitcoin Mining in South America to Push Energy Transition

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Tether, the company behind the world’s largest stablecoin USDT, is expanding into green Bitcoin mining in Brazil. It’s a strong move to align crypto with renewable energy, addressing concerns over the sustainability of crypto mining. The company announced a pilot project in partnership with agribusiness Adecoagro. They’ll be using surplus renewable power to mine Bitcoin while supporting energy revenue stability.

Brazil’s strong renewable energy generation and market environment have created the perfect conditions for Tether to develop a clean mining infrastructure. They can test how crypto can intersect with sustainable energy projects in South America while also finding operational and economic benefits tied to Bitcoin’s network.

Renewable Power Finds a New Use Case in Mining

Brazil’s renewable energy sector is one of the most advanced in Latin America. The country has hydroelectric, wind, solar, and biomass options forming the backbone of its generation capacity. Adecoagro’s sites in Brazil generate around 230 MW of clean electricity, but inconsistent demand means that there is sometimes excess energy that goes unused. This new project with Tether will redirect that extra renewable power into Bitcoin mining operations. In this way, they can turn what would be wasted capacity into a source of income while supporting Bitcoin transactions.

Paolo Ardoino, Tether’s Chief Technology Officer, has confirmed that the company will use its Mining OS software to run and monitor mining operations within Adecoagro’s facilities. This system will help manage rigs, oversee maintenance, and ensure efficiency across the operation. They also have plans to open-source the software soon for transparency and community participation. This step aligns with Tether’s broader strategy to move beyond financial services and into blockchain infrastructure. They’re planning on building long-term support for the crypto ecosystem while adding practical use cases to its operational model.

One trend is using crypto for gaming on platforms that prioritize security, privacy, and fast transactions. Many gamers enjoy playing with Tether because they know the value of their winnings won’t change. On the other hand, some players prefer using non-stablecoins, as the might go up in value and make any winnings more valuable. The top Ethereum casinos to play at offer regulated environments for responsible gaming while using ETH for deposits and withdrawals. They typically feature competitive bonuses, large and varied game libraries, and quick transaction speeds. These examples show how crypto mined sustainably can move quickly into circular digital economies while supporting decentralization goals.

A Strategy for Sustainable Bitcoin Mining

This project in Brazil is part of Tether’s larger push into renewable-powered Bitcoin mining across South America. The company has explored mining operations before in Uruguay and Paraguay. They attempted to harness surplus hydropower and wind energy there, but Brazil offers a larger, more consistent renewable supply with a stable regulatory backdrop. Tether holds a 70% stake in Adecoagro, which means it has direct involvement in the development and deployment of this mining pilot. It can also support Adecoagro’s efforts to stabilize its revenue in a volatile power market.

Tether’s plan also reflects its confidence in Bitcoin’s role in the crypto ecosystem. As the world’s largest stablecoin issuer, Tether has always focused on maintaining liquidity and stability. However, moving into mining shows that it’s willing to support Bitcoin’s network infrastructure directly. This strategy means Tether can contribute to transaction processing and security while also generating income tied to Bitcoin’s block rewards. This provides another revenue stream that fits well with its business model.

Benefits for Brazil’s Energy Sector

Brazil is a test case for how this mining project can use surplus renewable energy to support blockchain operations. All without harming the local supply or increasing harmful emissions. During periods when energy demand is low, there’s often a higher renewable generation than can be used, meaning the company has to either reduce its production or lose potential revenue. By using this extra energy for mining, Tether and Adecoagro can generate income while providing another use for clean energy that would otherwise be wasted.

This approach can also add to the wider conversation around Bitcoin’s energy demands. Crypto mining has often been criticized for environmental impacts in regions that rely on fossil fuels. Using renewable energy for mining addresses these concerns. It aligns crypto with sustainable practices. This provides a cleaner alternative while maintaining the network security and transaction validation functions that Bitcoin’s proof-of-work model demands. Brazil’s strong renewable infrastructure makes it a natural fit for testing this model at scale in Latin America.

Operational and Market Challenges

Despite the clear opportunities that this project offers, it does come with some practical and market challenges. Managing large-scale mining operations needs oversight. Particularly of equipment, maintenance schedules, and energy balancing, which will avoid inefficiencies. Bitcoin’s price volatility can also affect mining profitability. Periods of lower prices reduce the incentive to mine, even when using low-cost renewable power. Tether and Adecoagro will need to monitor these factors closely to ensure the pilot meets financial and operational expectations.

Regulatory considerations may also influence the pilot’s progress. Brazil has policies that support renewable energy and industrial innovation, but authorities may review the environmental and economic impacts of large-scale crypto mining at any time. Tether and Adecoagro have said they’ll work with local and national entities to align the project with regulations and environmental standards. This decision will be important for maintaining community support and ensuring compliance as the project develops.

A Model for Clean Energy Integration

Tether’s pilot in Brazil demonstrates a practical way to connect the crypto industry with sustainable energy systems. By using mining as a flexible demand solution for extra renewable generation, this model can allow energy producers to monetize unused capacity while contributing to the stability and security of blockchain networks. For Brazil, it’s an opportunity to strengthen its renewable sector while testing how digital assets can fit within the country’s energy and technology ecosystem.

Adecoagro’s operations across Argentina, Brazil, and Uruguay could see similar pilots in the future. That is, if the Brazil project proves successful. The company may be able to replicate the approach and diversify its renewable energy strategy. By aligning Bitcoin mining with green energy, Tether is exploring a pathway that could reduce waste, stabilize energy revenues, and integrate crypto into the real economy while respecting environmental goals.