Bitfarms sells its Yguazu, Paraguay data center for $85 million, transitioning to a North American focus. This sale is set to decrease 2025 capital expenditure and reduce power costs by 10%. The proceeds will support expansion in the U.S. with a 1.1 GW pipeline for Bitcoin mining and AI infrastructure.
Bitfarms has successfully concluded the sale of its 200 MW data center in Yguazu, Paraguay, to HIVE Digital Technologies for approximately $85 million. This strategic decision marks a significant transition for Bitfarms as it evolves from an international Bitcoin mining enterprise to a North American energy and computing infrastructure company.
The sale is anticipated to generate several benefits. Primarily, it will reduce the company’s capital expenditure requirements for 2025, lower average power costs by 10%, and shift the organizational portfolio to comprise roughly 80% North American and 20% international operations by the end of 2025.
The company is poised to reinvest the proceeds into its promising 1.1 GW growth pipeline in the United States, targeting expansion in Bitcoin mining and High-Performance Computing (HPC) and Artificial Intelligence (AI) infrastructure. Notably, while this shift implies the loss of 200 MW operational capacity in Paraguay, the move underscores a more sustainable and cost-effective operational focus.
Bitfarms is regarded as a global Bitcoin and vertically integrated data center company that operates its own facilities, emphasizing sustainable energy utilization. Currently, it manages 15 data centers across four countries, predominantly powered by hydro-electric energy and long-term power agreements.
This pivotal transaction aligns with a larger objective of establishing a competitive edge within the North American market, strategically positioning Bitfarms for future growth opportunities.
In conclusion, the strategic sale of Bitfarms’ Yguazu data center reflects the company’s commitment to transitioning towards a more localized operational model. With an expected reduction in capital costs and reallocation of resources to the North American market, Bitfarms is focused on enhancing its infrastructure for Bitcoin mining and AI capabilities, demonstrating a proactive approach in a rapidly evolving sector.
Original Source: www.stocktitan.net
