Bitcoin News
By Maheen Hernandez
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A $15 Billion Problem and One Underpowered Project. Paraguay's energy infrastructure has pretty much stalled.
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Energy Theft and the Government Crackdown. There's another layer to all this. It's not just legal mining operations straining the grid —…
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Paraguay is burning through energy fast. Bitcoin mining alone now eats up roughly 30% of the country's total energy production — and the pressure on the grid is only getting worse.
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To put that in physical terms, energy researcher Victorio Oxilia said mining operations consume the equivalent output of about one and a half turbines from the Itaipu dam.
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Not renewed. Not expanded. Just not renewed.
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Julio Fernández, from the Center for Economic Studies of the Paraguayan Industrial Union, basically said the same thing a different way.
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Paraguay's energy infrastructure has pretty much stalled. The only significant project currently underway is Aña Cuá, and it will add just 135 megawatts of capacity.
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Llamosas did draw a useful distinction, though. Bitcoin mining demand is flexible — operators can dial consumption up or down depending on grid load.
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Still, the flexibility argument is real. It's one of the few things that could make the situation manageable without a massive infrastructure overhaul happening immediately.
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See also: Druckenmiller Critiques Treasurys $4 Billion Bond Buyback as Bitcoin Surges 23.8%
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There's another layer to all this. It's not just legal mining operations straining the grid — there's a documented problem with energy theft tied to bitcoin mining, and…
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That's worth paying attention to. Illegal energy consumption linked to mining operations isn't just a financial crime — it directly destabilizes a grid that's already stretched…
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The broader regulatory picture is murky, though. The 2027 contract expiration hangs over everything.
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Five decades. That's roughly how long the country has gone without significant investment in new energy generation.
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Related: Bitcoin and Gold ETFs Attract $7 Billion Amid U.S. Debt Crisis Surpassing $40 Trillion
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