Tether and Adecoagro join forces for Bitcoin mining in Brazil using 230 MW of surplus renewable energy, boosting efficiency and grid stability.
Tether, a USDT issuer, has entered into a new agreement with Adecoagro S.A., a prominent sustainable production company in South America. The partnership aims to investigate novel methods for incorporating renewable energy sources into Bitcoin mining operations in Brazil.
Bitcoin mining using renewable energy sources
Tether, the USDT Issuer, and Adecoagro intend to utilize renewable energy sources to fuel bitcoin mining operations under the new agreement. Adecoagro, which has a renewable energy generation capacity of over 230 MW in South America, will utilize its surplus energy to assist in mining operations.
The project aims to establish a more consistent pricing option by stabilizing some of the energy sold on the spot market. The companies will accomplish new efficiencies by leveraging the nexus of technology, energy, and agriculture.
Adecoagro’s CEO, Mariano Bosch, expressed enthusiasm for the initiative, as it would enable the company to hedge a portion of its spot market energy sales and secure the price, in addition to leveraging the potential of Bitcoin.
Tether’s Contribution to the Expansion of Bitcoin Mining
Tether, the USDT issuer, possesses considerable expertise in the bitcoin mining ecosystem and is expanding its portfolio of sustainable mining operations across multiple regions. Paolo Ardoino, CEO of Tether, discussed the potential of this partnership:
“We are honored to work in conjunction with Adecoagro.” This initiative is yet another demonstration of our increasing dedication to bitcoin mining, which is powered by renewable energy sources. Tether’s energy capabilities are comparable to Adecoagro’s, as Ardoino noted that the company is focused on decentralized networks and robust energy infrastructure.
The project will employ Tether Mining OS to oversee this site in the future, with the intention of making it open-source within the next few months. The initiative has the potential to enhance the accessibility of mining and establish a transparent and efficient platform for the management of mining activities. Tether’s experience will significantly influence the project’s success in the digital asset space.
Long-Term Strategic Exposure to Bitcoin
Additionally, the partnership offers Adecoagros a unique opportunity to diversify its energy strategy. The company believes that bitcoin is a long-term value bet, similar to their farmland properties, in addition to generating revenue by selling surplus energy. Adecoagro will enhance its financial position by incorporating Bitcoin mining into its balance sheet as part of the initiative.
Juan Sartori, Executive Chairman of Adecoagro’s Board of Directors, stated, “This collaboration enables us to investigate a novel intersection between agriculture, energy, and technology, thereby unlocking potential efficiencies and diversifying our energy strategy in a responsible and forward-thinking manner.” According to both companies, the Bitcoin mining initiative is anticipated to foster financial inclusion, enhance energy efficiency, and establish a new model of responsible innovation.
Nevertheless, the US bankruptcy judge has permitted the Celsius Networks lawsuit against Tether, despite the significant agreement. Celsius alleges that Tether mismanaged more than 39,500 Bitcoins during its collapse in 2022 and utilized the funds to settle debts without adhering to the established policies.
In the interim, Pakistan is encountering criticism for its intention to utilize subsidized electricity to mine cryptocurrencies. Pakistan’s efforts to provide specific subsidies to Bitcoin producers were also rejected by the International Monetary Fund (IMF), even though the country has an excess energy supply during the winter.
