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Paraguay’s State-Owned Utility to Launch Government-Run Bitcoin Mining Program

Paraguay’s ANDE and Morphware partner to launch a state-run Bitcoin mining initiative, utilizing confiscated rigs and surplus hydroelectric energy from the Itaipú dam.

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Fact Check
Multiple independent reports from reliable crypto and finance outlets consistently describe Paraguay’s National Electricity Administration (ANDE) announcing or collaborating on a government-led Bitcoin mining project. These reports specify that ANDE intends to repurpose thousands of seized mining rigs and work with a private firm (Morphware) to convert them into a state-run operation. The articles reference official statements or cooperation agreements, indicating that the initiative was publicly recognized by ANDE. Higher-authority but low-relevance sources, such as Oxfam and OECD, do not contradict this information, simply lacking coverage of crypto topics. The alignment across mid-high authority and high-relevance sources confirms that the Electricity Authority indeed announced plans to explore Bitcoin mining as a national revenue source. Given consistent details, direct mention of official participation, and lack of contradictory evidence, the statement is very likely true.
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Summary

Paraguay’s state-owned electricity company, ANDE, has signed an MoU with Morphware to launch a government-run Bitcoin mining program. The project will leverage seized mining rigs and surplus hydroelectric power from the Itaipú dam. The pilot phase will deploy 1,500 confiscated miners to mining facilities adjacent to existing substations. Paraguay follows the example of countries like El Salvador and Bhutan, looking to turn domestic energy resources into economic opportunities through cryptocurrency mining.

Terms & Concepts
  • Bitcoin mining: The process of verifying blockchain transactions and earning Bitcoin by solving cryptographic puzzles using computing power.
  • Memorandum of Understanding (MoU): A formal agreement outlining intent to cooperate between parties without creating binding obligations.
  • Surplus electricity: Excess energy capacity not currently used for domestic or industrial consumption, which can be repurposed for high-demand computing like crypto mining.