Crypto Scenario Insights
What happened
Tether's Bitcoin mining venture in Uruguay, operating under the local entity Microfin, has shut down. A former contractor estimated the total spending on two sites in Uruguay's Florida department reached approximately $1…
If it goes well
If Tether's Brazil pilot project proceeds successfully, it would demonstrate the company's ability to learn from past operational challenges and adapt its strategy.
If it goes badly
Should the Brazil project encounter significant difficulties, it would further underscore the inherent risks in Tether's mining diversification strategy.
What we think
Our reading is that the Uruguay failure places significant scrutiny on Tether's Brazil pilot, but the smaller scale and specific partnership structure offer a different set of dynamics.
Read the analysis
Tether's Uruguay Mining Failure Shadows Brazil Expansion
We explain what happened and what could follow. We do not forecast prices.