Paraguay directs Bitcoin miners to comply with registration

The newly approved resolutions by the Chamber of Deputies to regulate unauthorized mining have left Bitcoin miners in Paraguay to comply with new state demands

ContentsTighter supervision occurs through government measures.The cases of illegal mining compel legislators to work.This is due to increased regulation brought about by the necessity of global demandThe role of Paraguay in the world of miningThe relocation is expected to enhance regulation as the sector grows, and Paraguay should be a big stakeholder in the international distribution of hash rates.

Tighter supervision occurs through government measures.

On December 4, the lawmakers approved two resolutions brought out by Deputy Maria Constancia Benitez. The actions aim to enhance state regulation and raise transparency in the mining industry. The former resolution directs the Ministry of Industry and Commerce to provide reports of all registered miners

These records should contain both a physical and electronic background. The second resolution orders the National Electricity Administration to make a complete list of approved electrical connections in the mining activity. The report should identify those in charge and include places of installation. The agencies should submit their reports within 15 days.

## The cases of illegal mining compel legislators to work.

In 2024, authorities managed a rush in illegal mining. The National Electricity Administration had recorded more than 30 secret site interventions. The government took away substantial quantities of machinery and passed a new law that can sentence illegal miners to up to ten years in jail. Electric power output is many times greater than Paraguayans’ demand

The majority of excess energy is normally sold at a low price to Brazil and Argentina. The emergence of registered mining companies is the current opportunity to sell extra force at favorable prices. The mining activities are already bringing in approximately $12 million per month to the National Electricity Administration.

This is due to increased regulation brought about by the necessity of global demand

Rules are imposed on other significant mining hubs. The Law on Digital Assets was enacted in Kazakhstan in 2023. The miners will be required to take licenses and enroll their systems in a state registry. They should also liquidate some of their Bitcoin through licensed exchanges. Legal entities and individual entrepreneurs in Russia must be registered at the Ministry of Digital Development. They also have to submit details of digital currency possession to the federal financial monitoring service.

Miners can work unregistered only when they are small, and the amount of energy they emit is sufficiently low. The mining rules in the US and Canada are regional. The companies are required to be registered as businesses, and they should meet local regulations. Several areas prohibit new mining activities because of environmental reasons, and there are also regions that promote mining.

The role of Paraguay in the world of mining

Paraguay also owns 3.9% of the global hashrate and is positioned in fourth place in the world. 45 mining operations are licensed in the country. It has been reported that an estimated 20 more applicants are on approval. HIVE Digital Technologies will increase its activities on its Yguazú premises. In October 2025, the company announced an agreement to make a 100 megawatt hydroelectric power facility. Construction will begin at the beginning of 2026. HIVE is projected to be completed during the third quarter of the year. The project shall increase its cumulative capacity in Paraguay to 400 megawatts.