Tether to shut down Bitcoin mining operations in Uruguay over high energy costs
NegativeCryptocurrency
- Tether has announced its decision to shut down its Bitcoin mining operations in Uruguay due to high energy costs, as confirmed in a meeting with the Ministry of Labor and Social Security. This move reflects the company's ongoing challenges in maintaining profitable operations amid rising expenses.
- The closure of Tether's operations in Uruguay is significant as it highlights the financial pressures faced by cryptocurrency companies, particularly in regions where energy costs are a critical factor in operational viability. This decision may impact local employment and the broader cryptocurrency ecosystem in the region.
- This development occurs against a backdrop of increasing scrutiny of Tether's financial stability, with recent downgrades of its USDT stablecoin by S&P Global due to concerns over its exposure to Bitcoin and governance issues. As Tether seeks to expand its influence in Latin America through investments in infrastructure firms like Parfin, the challenges in Uruguay may complicate its strategic objectives.
— via World Pulse Now AI Editorial System
