Stablecoin issuer Tether has announced it will launch Bitcoin mining operations in Uruguay.
In a May 30 announcement, Tether said it planned to establish a mining arm in the South American country “in collaboration with a local licensed company” in addition to investing into Uruguayan energy production. The stablecoin issuer announced the venture will use renewable energy sources to mine Bitcoin and plans to hire more staff.
“By harnessing the power of Bitcoin and Uruguay’s renewable energy capabilities, Tether is leading the way in environmentally responsible and sustainable Bitcoin mining,” said Tether CTO Paolo Ardoino. while maintaining the security and integrity of the Bitcoin network.”
Tether cited Uruguay’s ability to generate 94% of its electricity from renewable sources such as wind, solar and potentially hydro, as well as its reliable grid. The job listing on Tether’s website at the time of writing also suggests expanding to South Africa and Brazil.
Tether’s mining announcement follows a plan to “regularly allocate up to 15%” of its profits to BTC purchases. The stablecoin issuer reported that it held about $1.5 billion in Bitcoin as of the first quarter of 2023 – 2% of total reserves. Tether holds most of its holdings in cash, cash equivalents, and US Treasury bills.