ANDE and Morphware Formalize Bitcoin Mining Cooperation
Paraguay’s state power utility ANDE has signed a memorandum of understanding with crypto infrastructure firm Morphware, creating a formal framework that explicitly includes Bitcoin mining as part of the country’s energy and digital infrastructure strategy. This development signals a transition from merely hosting private miners to a state-directed, utility-managed approach. Morphware describes the MoU as an entry point for analyzing digital assets, advanced processing, and energy-driven technologies, positioning Bitcoin mining within a broader mandate. The agreement establishes an official pathway for technical evaluations and projects under Paraguay’s legal and regulatory framework, resembling a structured governmental initiative rather than a limited pilot.
ANDE has unlocked a powerful new asset, and Morphware is here to turn that asset into a new revenue engine for Paraguay. By redeploying Bitcoin miners on regulated, utility controlled sites, we can transform unused electricity into productive compute that serves both the Bitcoin network and the global AI economy. This is what the future of midstream electricity looks like: grids that do not just deliver power, but own a stake in the digital infrastructure they enable.
Seized Bitcoin Miners Integrated into Proposal
The MoU's emphasis on redeploying miners coincides with Paraguay's enforcement actions seizing ASIC hardware from alleged illegal operations involving electricity theft or tariff fraud. According to Morphware CEO Kenso Trabing, ANDE is considering repurposing these assets for the country's first government-run Bitcoin mining operation in partnership with Morphware. The government currently holds approximately 30,000 seized miners, stacked in warehouses with no prior mining experience among staff.
They’re literally stacked to the ceiling. They have no experience mining Bitcoin. Our role is an advisory role.
Deployment Structure and Operational Model
Morphware's formalized proposal involves redeploying idle seized machines at utility-controlled sites, starting with around 1,500 units near existing electrical substations equipped for high energy loads. ANDE would maintain ownership of the equipment and direct site operations, while Morphware supplies technical guidance and staff training. The focus remains on operational support without revenue sharing, emphasizing regulated environments over unregulated rural setups.
This is about regulated, utility-controlled sites. Not people hiding in the countryside.
