Tether has confirmed to the Ministry of Labor of Uruguay that it will cease operations locally.

PANews, November 27 news, according to Elobservador, Tether Holdings Ltd. confirmed to the Uruguayan Ministry of Labor and Social Security (MTSS) that it will cease operations in Uruguay and lay off 30 of its 38 employees. Since entering Uruguay, Tether has planned to invest $500 million, which includes building three data processing centers in the provinces of Florida and Tacuarembó, expected to consume 165 megawatts of electricity; it also plans to build a wind and solar power generation park with an installed capacity of 300 megawatts. Of the total investment, over $100 million has been secured, with an additional $50 million allocated for infrastructure construction, which will be owned by the Uruguayan Electricity Company (UTE) and the national interconnected system. The company warns that under current conditions, the continuation of the project is economically unfeasible. The 31.5 kV transmission contract model adopted by the province of Florida and the increased costs have raised operational expenses, despite Tether having repeatedly applied for more competitive electricity pricing schemes since November 2023. In the proposed alternative, the company suggests switching to a 150 kV transmission fee and modifying the electricity procurement contract, which could have brought economic benefits to the Uruguay Electricity Company and avoided unnecessary works.