Tether Doubles Down on Bitcoin: Mining Operations in Uruguay in the Works

Tether plans to mine its first bitcoin in the Uruguay facility by mid-Q3 2023

article-image

Jiap/Shutterstock.com modified by Blockworks

share

Tether is doubling down on its Bitcoin strategy by launching a mining operation in Uruguay set to be operational by the middle of the third quarter in 2023, Tether told Blockworks Tuesday.

Just last week, Tether said it would be purchasing a lot more bitcoin, which it will custody itself. 

The USDT issuer told Blockworks that this endeavor will be the company’s first time mining bitcoin. Tether added in a statement that it’s actively looking to hire energy experts to help support the South American-based mining initiative. Some of the positions based in Montevideo, Uruguay, that Tether listed include an IT technician, a site manager, an electrician and a mechanical technician. 

Tether has selected Uruguay as its destination for a bitcoin mining facility because of the country’s high percentage of renewable electricity generation, chiefly wind and hydropower, according to the International Trade Administration. 

The ITA further posits that Uruguay “currently generates over 98 percent of all electricity from renewable sources” as of September 2022. 

Tether Chief Technology Officer Paolo Ardoino pointed to Uruguay’s “renewable energy capabilities” and said Tether is committed to sustainability.

“Our unwavering commitment to renewable energy ensures that every Bitcoin we mine leaves a minimal ecological footprint while upholding the security and integrity of the Bitcoin network,” Ardoino said in a statement. 

Similar to Tether, Bitdeer launched a $500 million fundraising effort in early May along with Bhutan’s government to pay for a carbon-free mining operation in the South Asian country.

This move from Tether comes as its stablecoin continues to exercise dominance, with USDT capturing over 64% of the stablecoin market share, according to data from Blockworks Research.

Updated May 30, 2023 at 12:19 pm ET: Tether provided new details about when the Uruguay mining facility will be operational and general information about its mining business.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Industry City | Brooklyn, NY

TUES - THURS, JUNE 24 - 26, 2025

Permissionless IV serves as the definitive gathering for crypto’s technical founders, developers, and builders to come together and create the future.If you’re ready to shape the future of crypto, Permissionless IV is where it happens.

Brooklyn, NY

SUN - MON, JUN. 22 - 23, 2025

Blockworks and Cracked Labs are teaming up for the third installment of the Permissionless Hackathon, happening June 22–23, 2025 in Brooklyn, NY. This is a 36-hour IRL builder sprint where developers, designers, and creatives ship real projects solving real problems across […]

recent research

Research Report Templates.png

Research

Maple Finance has successfully navigated significant market challenges through its strategic pivot to secured lending (Maple v2) and the launch of its Syrup product. Syrup has become a primary growth driver, delivering sustainable, outperforming stablecoin yields and rapidly increasing TVL. The upcoming custody-first Bitcoin staking product (istBTC) presents another significant avenue for expansion. Crucially, Maple has achieved operational profitability, a key inflection point that, combined with a fully vested token and active buyback mechanism, strengthens its investment case. While valuation metrics suggest potential undervaluation relative to peers and growth, the primary forward-looking risk identified is the long-term sustainability of its current high-take-rate collateral staking revenue model.

article-image

In 2014, Microsoft virus scanners were detecting viruses in Bitcoin software

article-image

Ledn’s Mauricio Di Bartolomeo explained how this cycle’s been different for the lender

article-image

The shorts looking for funding range from charming animated series to gritty live-action dramas

article-image

Money, it turns out, is emergent, like consciousness

article-image

Bridge flows churn in both directions as risk appetite returns