Bitfarms Exits Latin America to Fund North American AI Build
- Bitfarms exited Latin America after selling its Paraguay site for future cash flow.
- The $30M sale advances capital redeployment into North American AI energy assets.
- Mining firms now pursue data centers and HPC revenue over pure hash rate models.
Bitcoin miner Bitfarms Ltd. has agreed to sell its remaining Latin American operations, completing a regional exit as it redirects capital toward North American power and data center infrastructure tied to AI and high-performance computing. The company said Friday it signed a definitive agreement to sell its 70-megawatt Paso Pe site in Paraguay to Sympatheia Power Fund, a crypto infrastructure fund managed by Hawksburn Capital, for up to $30 million.
Under the agreement, Bitfarms will receive $9 million in cash at closing, including a $1 million non-refundable deposit already paid, with up to $21 million tied to post-closing milestones over 10 months.
Management said the transaction pulls forward two to three years of expected free cash flow from the Paraguay operation, allowing earlier redeployment of capital into North American infrastructure projects.
From Latin America to North American Compute Power
The sale marks the end of Bitfarms’ multi-year wind-down in Latin America and leaves its energy portfolio fully concentrated in North America. Chief Executive Ben Gagnon said proceeds from the sale will be redeployed into North American HPC and AI-focused energy infrastructure beginning in 2026.
He added that the strategy reflects a deliberate shift toward assets that support data centers and long-duration compute workloads rather than geographically dispersed mining sites.
Following the divestiture, Bitfarms now operates 341 megawatts of energized capacity, with 430 megawatts under active development in the United States and a multi-year pipeline of roughly 2.1 gigawatts.
Repositioning the Mining Business Model
The transaction illustrates a broader transformation underway across the Bitcoin mining sector, where firms once competed primarily on hash rate and energy costs. Now, miners increasingly pursue diversification as HPC and AI workloads rely on similar infrastructure, including robust power supply, advanced cooling systems, and secure facilities.
These shared requirements allow mining companies to repurpose expertise while targeting revenue streams that offer contracted and predictable cash flows over longer durations.
Read More: Bitfarms Shares Drop 18% After Decision to Exit Bitcoin Mining
Market Forces Driving the Shift
Several structural forces continue to influence this realignment across the sector, starting with post-halving economics after the 2024 Bitcoin halving reduced block rewards. At the same time, volatile global energy markets pressure margins, pushing operators to seek stability through diversified infrastructure exposure rather than single-asset production.
The demand for AI computing power has increased drastically, creating opportunities for data center operators while also drawing more attention to areas with renewable energy, clear regulations, and proximity to AI hubs.
In Latin America, some places have experienced an increase in energy costs, and supply restrictions have led miners to reconsider scattered operations in different locations and concentrate mainly on North America. KuCoin reported that mining firms are looking for partnerships or return strategies to utilize crypto mining to provide power for AI and cloud computing services.
Through the sale of future cash flows from its Paraguay site and through the capacity in North America, Bitfarms is not only positioning itself to take full advantage of the growing convergence of energy, compute, and digital asset infrastructure.
