Long-Term Vision Beyond Regional Arbitrage
Bitcoin mining company Hive Digital Technologies is expanding its Latin American presence by making Paraguay a strategic long-term clean-energy mining center. Amid global uncertainty in the mining space, Hive President and CEO Aydin Kilic highlighted the company’s departure from short-term regional arbitrage. “We consider Paraguay to be a solid long-term partner”, citing geopolitical stability, abundant hydroelectric resources, and a receptive government to foreign investors.
From Bitfarms to New Frontiers
Hive made a big push in January of 2025 by acquiring Bitfarms’ 200-megawatt (MW) Yguazú facility for $56 million. Located near Paraguay’s Itaipu Dam, one of the world’s biggest hydroelectric power plants, the facility offers an important energy advantage. By April, Hive had completed the initial stage of development, activating 100 MW of mining hardware and achieving a capacity of five exahashes per second (EH/s) with application-specific integrated circuits (ASICs).
In the future, Hive plans to raise Paraguay’s mining capacity to 300 MW and its hashrate to 25 EH/s by September 2025. The upgrade will significantly enhance the company’s global mining presence.
Building a Local Ecosystem
Hive’s leadership focused on local partnerships. Over the past year, the company has built solid relationships with Paraguayan stakeholders and is investing in local hiring, vendor relationships, and training programs. Kilic said the goal is to build a sustainable support system that stabilizes costs and maximizes operational uptime and energy efficiency.
Paraguay has a history of regulation risk, with examples including threats to ban crypto mining because it uses too much electricity. Hive is actively engaging with policymakers on behalf of proactive, transparent, and cooperative policies on mining.
Geographic Diversification to Offset Global Risks
Hive LATAM expansion benefits its global strategy, with existing Canadian and Swedish data centers. Hive is even relocating corporate headquarters to San Antonio, Texas, further augmenting its presence in North America.
Kilic described this diversified footprint as part of a risk reduction strategy. As a response to the recent move by the U.S. government to impose tariffs on Chinese mining hardware, Hive has moved to diversify its supply chains for ASICs and electrical components away from single-region supply chains, lowering reliance on single-region supply chains. The company has secured long-term power purchase agreements and developed engineering capacity on three continents to support its aggressive scaling plans.
Profitability as a Physics Equation
Kilic knows Bitcoin mining in action: “It’s really a physics equation.” Hive is designed to optimize underlying variables—operating costs, energy efficiency, and up-time—to produce reliable output. Whether a single rig or industrial-scale data centers, control over inputs is the key to success. It also remains cash-disciplined with BTC treasury management and ATM sales to fuel growth.
Hive’s Paraguay operation is a long-term strategy aimed at energy efficiency, regulatory cooperation, and global resilience in the face of an evolving Bitcoin mining landscape.
