According to CoinMeta, Tether's $120 million Bitcoin mining project in Uruguay failed due to a contractual dispute with the state-owned power supplier UTE, resulting in the abandonment of both facilities. Estimates from insiders suggest that the construction cost of these facilities was around $120 million, and they lost power in July 2025. Tether originally planned to establish a larger pilot for Bitcoin mining operations in South America in Uruguay, but the project encountered significant obstacles due to increased power demand and differing interpretations of the contract. Nevertheless, Tether continues to pursue its broader energy strategy and plans for further expansion in countries such as Brazil.