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Wednesday, Apr 16, 2025
Mugglehead Investment Magazine
Alternative investment news based in Vancouver, B.C.
Hive Digital starts mining Bitcoin in Paraguay with renewable energy
Hive Digital starts mining Bitcoin in Paraguay with renewable energy
Aerial view of the Itaipu Hydroelectric Dam on the Parana River. Image via Hive Digital.

Bitcoin

Hive Digital starts mining Bitcoin in Paraguay with renewable energy

Developments can be attributed to Hive’s disciplined approach to infrastructure investment

HIVE Digital Technologies Ltd. (CVE: HIVE) (NASDAQ: HIVE) (FSE: YO0) kicked off mining operations at its hydro-powered 200-megawatt site in Yguazu, Paraguay.

The company made the announcement on Tuesday, indicating that it finally energized the first phase of its operation, and was now mining bitcoin at an initial production rate of 100 petahashes.

The company expects the site to scale steadily in the coming weeks, deploying additional mining capacity in phases over the next few months.

Luke Rossy, Hive’s chief operating officer, also shared that the company has successfully completed the commissioning and testing of all infrastructure for phase 1 at the Yguazu site.

“More than 65 per cent of the infrastructure needed to host over 20,000 miners is already in place” said Rossy.

“We’ve completed the civil works for the site’s substation exit bay and remain on track with equipment deliveries and installation timelines.”

Frank Holmes, Hive’s co-founder and executive chairman also called the energization of his company’s hydro-powered facility a pivotal milestone in Hive’s expansion. He said the developments can be attributed to Hive’s disciplined approach to infrastructure investment.

Read more: Hive Digital Technologies inks LOI to buy Paraguay Bitcoin mining facility from Bitfarms

Read more: Bit Digital inks new deal to bring GPU firepower, and bumps $15M in revenue

Hive avoids environmental issues with renewable energy

In March 2025, Hive completed the acquisition of the Paraguay facility, increasing its mining capacity by 317 per cent. Consequently, the company anticipates the effective hashrate bump to go from 6 exahashes (EH/s) to 25 EH/s by September.

Furthermore, this stratospheric bump almost manages to avoid most of the environmental pitfalls common to Bitcoin mining. This keeps with Hive’s stated goal of maintaining sustainable mining practices as it expands into Latin America.

Holmes has continued with his company’s focus on sustainable energy sources, including geothermal and hydro-power. He also emphasized Hive’s strategic pivot towards AI applications.  This move involves repurposing GPUs following Ethereum’s shift to Proof-of-Stake, and outlined plans for significant infrastructure growth by 2025.

Hive mined 108 bitcoin in March 2025, increasing its hodl balance to 2,201 bitcoin. At present, the market value of a single bitcoin is USD$82,000. Therefore, the company values the entire proceeds at approximately USD$180 million.

Year-over-year bitcoin holdings temporarily decreased by 4 per cent as the company reinvested bitcoin proceeds into long-term capital assets. For example, the new green-powered infrastructure in Paraguay.

Hive operated at an average hash rate of 6.3 exahashes per second, with a fleet efficiency of 20.7 joules per terahash.

The company achieved a peak bitcoin-only hash rate of 6.2 exahashes per second and a bitcoin-equivalent hash rate of 6.4 exahashes per second. Hive’s average daily production rate was 3.5 bitcoin, or 17.6 bitcoin per exahash.

 

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