Paraguay's bitcoin mining industry is at risk of being emptied out in large part. Industry insiders say the recent increase in bitcoin mining fees in the country is causing miners to reconsider their strategies locally due to better conditions in other countries. The 14% increase in electricity costs may be too high for some companies that have already been looking for alternative areas in countries such as Brazil and Argentina. One of the projects is a joint venture between Argentine and Brazilian companies, which will now move to Argentina's Zapala region to take advantage of energy incentives for setting up companies there. The joint venture between Zapala Mining and Patagonia 360 will seek to exploit the possibility of bitcoin mining using unconventional energy mining methods in Vaca Muerta, one of Argentina's largest oil fields. The project aims to reach 200 megawatts of capacity by 2026, starting with an 8 megawatt target in October. This is not the only project seeking to relocate to other countries after recent fee increases. Fernando Arriola, president of the Paraguayan Fintech Chamber, revealed that several companies have signed documents to do business in Argentina. (Bitcoin.com) Earlier news, the Paraguayan National Electricity Administration (ANDE) increased electricity prices for cryptocurrency mining operators by 14%, affecting the profitability of such companies. The lack of clarity in the field has led to the withdrawal of a company that planned to invest more than $400 million in Paraguay.
