Bitfarms Ltd. (BITF) is divesting its operations in Latin America and redirecting its energy portfolio exclusively toward North America, marking a strategic pivot amid shifting regulatory and energy landscapes. The move underscores a broader effort to optimize costs and improve long-term sustainability.
- Bitfarms is exiting Latin America, including operations in Colombia and Argentina.
- North American facilities now represent 100% of the company’s operational footprint.
- Average electricity cost in North America is $0.032/kWh, compared to $0.045/kWh in Latin America.
- Expected annual operational savings: $7.2 million post-restructuring.
- New 10-year power agreement in Quebec secures 650 MW at under $0.03/kWh.
- Projected hash rate increase of 28% by mid-2026.
Bitfarms Ltd. (BITF) has announced the exit from its Latin American operations, including facilities in Colombia and Argentina, as part of a comprehensive reorganization of its global energy strategy. The company will now concentrate its cryptocurrency mining activities exclusively in North America, where it operates data centers in Quebec, Canada, and New York, USA. This shift follows a reassessment of energy pricing, regulatory stability, and grid reliability across regions. The company reported that its Latin American facilities contributed approximately 18% of its total hash rate in 2024, with energy costs averaging $0.045 per kWh—higher than the $0.032 per kWh average in its North American sites. By exiting these markets, Bitfarms expects to reduce its weighted average cost of electricity by 17% over the next fiscal year. The restructuring will also streamline operations, with an estimated $7.2 million in annualized operational savings from reduced overhead, compliance, and maintenance expenses. The realignment positions Bitfarms to capitalize on North America’s growing availability of low-cost, renewable-powered electricity, particularly from hydroelectric and wind sources. The company signed a new 10-year power purchase agreement in Quebec in December 2025, locking in rates below $0.03 per kWh for 650 MW of capacity. This contract supports the expansion of its mining fleet, which is projected to increase by 28% by mid-2026. Market analysts note that the move could improve Bitfarms’ competitive edge in the North American mining sector, especially as regulatory scrutiny intensifies globally. Investors are responding positively, with BITF shares rising 8.3% in early trading following the announcement. The shift may also influence peer strategies, as other mid-tier miners assess regional risk exposure and energy cost structures.