Global Bitcoin mining company Bitfarms has agreed to sell Hive Digital Technologies $85 million for its 200-megawatt (MW) mining operation in Yguazu, Paraguay. Focusing on Bitcoin mining and AI-driven infrastructure, the choice is a part of Bitfarms’ larger plan to reallocate resources and enhance its US operations.
Signed on January 28, the deal lets Hive Digital buy one of Bitfarms’ three Paraguayan mining operations. Although its other two sites, Villarrica and Paso Pe, have a combined capacity of 80 MW, the Yguazu site was the largest mining operation of the corporation in Paraguay.
The CEO of Bitfarms said the deal fits the company’s long-term objective of mostly running its activities in North America. By 2025, the company wants just 20% of its mining capacity worldwide and 80% of it in North America. Bitfarms runs now in Argentina, the US, and Canada, with different power capacities in each area.
Hive and Bitfarms should have reached their agreement by the end of the first quarter of 2025. The payment schedule calls for an initial $25 million installment, then $31 million spread over six months. We split the remaining $29 million into $10 million for further capital needs and $19 million for power deposit repayments.
By the end of the year, this calculated change is predicted to lower estimated electricity costs by 10% while also reducing Bitcoin mining capacity for Bitfarms by 21%. The action shows the company’s will to broaden its activities beyond conventional Bitcoin mining and take advantage of fresh prospects in US market artificial intelligence and high-performance computing.
