Tether Launches Bitcoin Mining in Brazil Using Sugarcane Waste, July 1

Tether, the company behind the world’s largest stablecoin USDT, is preparing to mine Bitcoin using electricity generated from sugarcane waste in Brazil. The pilot operation, run through Tether-backed agribusiness Adecoagro, will start with 10 megawatts of capacity and approximately 1,280 Bitcoin mining machines powered entirely by biomass energy from sugarcane processing. The project goes live July 1, 2026, and signals Tether’s expansion beyond stablecoin issuance into energy-intensive cryptocurrency operations.

How Bagasse Powers Bitcoin Mining

Bagasse is the fibrous material left behind after sugarcane is crushed to extract juice for sugar and ethanol production. In large-scale mills, bagasse is fed into high-efficiency boilers that generate steam, which spins turbines to produce electricity. The process often generates more power than the mill itself consumes, creating surplus energy that Adecoagro can now direct to Bitcoin mining operations.

Adecoagro’s Renewable Energy Platform

Adecoagro already operates more than 230 megawatts of renewable electricity generation capacity across South America, giving the project an established energy platform before a single mining rig is switched on. Tether holds a 70% stake in the company. The 10-megawatt pilot is deliberately small, designed as a test before any full-scale rollout. If successful, other agricultural producers may view mining as a flexible source of surplus electricity.

Why Brazil for Bitcoin Mining

Brazil is one of the world’s largest sugarcane producers and has a mature ethanol and bioenergy industry. The country’s power grid offers abundant low-cost renewable electricity compared to fossil-fuel-dependent grids in other regions. This makes Brazil an attractive location for energy-intensive Bitcoin mining operations that require 24/7 power availability.

What This Means for Bitcoin and Tether

Bitcoin fell 3.39% to $65,663.68 USD over the past week, with Meyka rating BTCUSD a C+ and setting a 12-month price target of $97,867.61 USD. Tether’s move into mining diversifies its revenue beyond stablecoin fees and creates a new use case for its USDT token in energy markets. The pilot tests whether agricultural waste can sustain profitable Bitcoin mining at scale.

Final Thoughts

Tether’s July 1 pilot marks the first major test of sugarcane-powered Bitcoin mining at scale. If the 10-megawatt operation proves profitable, the model could expand across South America’s agricultural sector and reshape how miners source renewable energy.

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