Bitfarms Exits South America: 70 MW Paraguay Mining Site Sold in Strategic Retreat

Bitfarms just pulled the plug on its South American ambitions.

The mining firm unloaded its 70-megawatt facility in Paraguay—a full exit from the continent. No more jungle heat, no more regulatory tango. Just cold, hard capital reallocation.

The Strategic Pivot

This isn't a fire sale; it's a calculated retreat. The move frees up resources and managerial bandwidth. Think less about navigating foreign bureaucracies, more about optimizing existing, core operations in more predictable jurisdictions. It's a classic portfolio trim—cutting the underperforming or complex assets to double down on winners.

Reading the Hashrate Tea Leaves

Exiting a 70 MW site sends a signal. It suggests a focus on operational efficiency over sheer geographical sprawl. In an industry where energy costs are everything, maybe the Paraguayan power deal lost its shine. Or perhaps the logistical overhead simply didn't justify the hashrate.

The Bottom Line: Liquidity Over LatAm

The proceeds from the sale? That's dry powder. It could shore up the balance sheet, fund new, more efficient mining rigs, or simply provide a buffer against Bitcoin's infamous volatility. One cynical finance take? It's another mining firm realizing that running a global operation is often less profitable than just telling a global story to investors. For now, Bitfarms is betting that focus beats footprint.

Bitfarms sells BTC mining center for $30M

Bitfarms will sell the Paso Pe BTC mining facility at a $30M valuation, with $9M in cash and up to $21M over a 10-month period.  

After the deal, Bitfarms will focus solely on North American energy assets while improving its liquidity profile for further expansion. Bitfarms negotiated a $300M long-term debt facility in April 2025 as part of its energy expansion plans. 

Bitfarms retains 341 MW in energy capacity, with another 430 MW in active development. The multi-year plan is to reach a total of 2.1 GW in data centers, of which 90% will be based in the USA. Bitfarms has been on an expansion track since 2017, and is one of the leaders in North American mining infrastructure. 

Bitfarms benefits from AI data center boom

The sale arrives at a time when Bitcoin mining operations are often converted to high-uptime AI centers, based on existing contracts for reliable electricity.

Following the deal announcement, BITF shares were trading at $2.96 (3.93 CAD), up over 32% net for the past year. The period coincided with revenue growth for BITF, as the miner benefited from the growing prices. 

In early 2026, BTC miners are still operating at NEAR peak capacity, despite the distressing market conditions. Even smaller mining companies are viewed as potential bets with high returns. BITF is expected to break out based on its ongoing data center plans. BITF is competing with other recently hot mining companies like Riot and IREN, with stocks rising despite the slower BTC market growth.

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