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Bitcoin Hashrate Relocation After Halving: Paraguay Emerges as New Mining Hotspot

Published on
3 Jun, 2025 | 20:58
Image: AI-generated for bitcoin24.com

Following Bitcoin’s April 2024 halving event, mining operations are shifting to regions with more affordable and sustainable energy. One notable destination is Paraguay, where new infrastructure is rapidly transforming the country into a global mining hub.

HIVE Digital Invests Heavily in Paraguay

In January 2025, HIVE Digital Technologies acquired a partially completed 200-megawatt mining facility in Yguazú, Paraguay from Bitfarms for $56 million. The deal positions HIVE to scale its total mining capacity to 25 EH/s by September 2025 while leveraging Paraguay’s abundant hydroelectric power. Source

Phase One Operational by April

As of April 2025, HIVE completed Phase 1 of the project, activating a 100-MW air-cooled infrastructure. They’re currently operating 200 PH/s using their proprietary BuzzMiners powered by Intel chips. The company is also expecting the delivery of 20,000 Bitmain S21+ ASIC miners by the end of May. Source

Why Paraguay?

Paraguay offers low electricity costs and renewable energy from hydropower, making it a highly attractive region for mining companies looking to remain profitable post-halving. As competition grows and profit margins tighten, relocation to energy-efficient locations is becoming essential.

The shift of Bitcoin’s hashrate toward Paraguay illustrates a broader trend of geographic rebalancing in global mining. As traditional hotspots face higher energy costs and regulatory uncertainty, countries with cheap, clean energy are increasingly favored.

Live Bitcoin price illustration with upward chart and Bitcoin logo – bitcoin24.com
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Source: CoinGecko