Tether Abandons Uruguay Bitcoin Mining Project Over Electricity Dispute

Tether's bitcoin mining plans in Uruguay have unraveled due to a supply dispute over electricity. The company had invested an estimated $120 million in two mining sites, but ultimately abandoned the project.

Uruguay was seen as an attractive location for Tether due to its abundant renewable energy and robust grid. However, the project's success depended on a reliable power supply, which became a point of contention between Tether and the state utility UTE.

The disagreement centered around a clause in their contract, with Tether believing it represented a minimum level of power supply that could later be increased, while UTE viewed it as a maximum allocation that couldn't be exceeded. The dispute was compounded by a shift in Uruguay's political landscape and ultimately led to the project's collapse.