Tether-Backed Adecoagro Plans Sugarcane Powered Bitcoin Mining Site in Brazil

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TLDR

  • Adecoagro plans a 10 megawatt Bitcoin mining site powered by sugarcane residue in Ivinhema Brazil.
  • The first phase expects about 1280 machines with operations targeted for July 2026 in Brazil.
  • Sugarcane bagasse electricity may help Adecoagro test data center efficiency within its agribusiness operations network.
  • Tether’s majority ownership connects the agricultural company with digital asset infrastructure and renewable energy strategy.
  • Mato Grosso do Sul also advanced school technology access and rural address registration measures programs.

Tether-backed Adecoagro is preparing to launch a Bitcoin mining operation in Ivinhema, Mato Grosso do Sul, using electricity generated from sugarcane processing. The company presented the project during the Raízes do Futuro event, where public officials and business representatives discussed technology and innovation. Operations are planned to begin around July 1, 2026, with 10 megawatts of initial capacity and about 1,280 mining machines.

Adecoagro is a South American agribusiness company active in sugar, ethanol, rice, dairy and renewable energy. The company has become more closely connected to digital assets after Tether, the issuer of the USDT stablecoin, became its majority shareholder. The planned mining site adds a Bitcoin-focused data center project to Adecoagro’s existing agricultural and energy operations.

The electricity source is expected to come from sugarcane residue, especially bagasse left after cane crushing. Sugar and ethanol mills commonly burn bagasse to generate steam and power for industrial activity. Surplus electricity from that process can be redirected to commercial systems when production exceeds internal demand.

Data Center Project Focuses on Efficiency

Adecoagro project manager Matheus Lechuga said the data center was designed to validate the company’s structure and test new technology developments. He stated that the first phase would use clean energy from sugarcane to operate Bitcoin mining equipment. The company has described energy efficiency as a main operational target for the project.

The planned site is expected to use Adecoagro’s own electricity matrix and local resources connected to the regional basin. This approach places the mining operation close to existing agricultural production and biomass-based power generation. The project gives the company another route for using electricity generated inside its production chain.

Bitcoin mining requires high computing power, and electricity cost remains a central operating factor for mining companies. Adecoagro’s use of sugarcane-based energy links the project to a renewable power source already used in Brazil’s ethanol industry. The first stage remains a validation phase rather than a full commercial expansion.


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Mato Grosso do Sul Supports Digital Agenda

The Mato Grosso do Sul government helped create conditions for private investment in Ivinhema, including environmental licensing and business structuring. Officials presented the mining plan as part of a wider state agenda focused on technology, innovation and rural services. The state is seeking to connect industrial activity with digital infrastructure and renewable energy projects.

Governor Eduardo Riedel also signed an agreement with Google to expand access to digital tools in schools across the state. Students and educators are expected to receive access to Google applications in classrooms. State secretariats will coordinate the rollout through an education technology program.

The administration also announced a postal address system for rural properties in Mato Grosso do Sul. The system creates official location records for countryside homes through georeferenced registration. Authorities said the program is intended to improve deliveries, transport routes and access to services for rural residents.





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