Tether CEO Paolo Ardoino confirmed the company's majority stake in agribusiness Adecoagro with a cow GIF post, putting the stablecoin issuer behind roughly 70% of the South American producer. The stake, built through a tender offer in 2025, gives Tether control of a company that farms sugarcane, rice, and dairy — and runs more than 230 megawatts of renewable generation. AGRO closed Monday at $11.38, up 5.96%, valuing the producer near $1.55 billion.
A Cow GIF and a Tender Offer
Ardoino's cow GIF wasn't just a joke. It was a confirmation that Tether had raised its position in Adecoagro to about 70% through a tender offer earlier in 2025. The move turns Tether into the dominant shareholder of a company that's been public for years, and it signals a deeper push into real-world assets.
Adecoagro isn't a typical crypto play. It farms sugarcane, rice, and dairy, with more than 14,500 milking cows spread across four free-stall dairy units in the Argentine Humid Pampas. Two biodigesters convert cattle waste into biogas and push electricity onto the local grid. That's a long way from a digital token.
Dairy, Sugarcane, and 230 Megawatts
The agribusiness also controls more than 230 megawatts of renewable generation across South America. That's the part that likely caught Tether's eye. The company can route surplus power into mining rigs instead of dumping it on volatile spot markets, a strategy that turns an unpredictable revenue stream into a steady one.
Adecoagro CEO Mariano Bosch pitched the arrangement as a way to lock in pricing on power currently sold on the spot market. For Tether, it's a chance to run bitcoin mining without worrying about electricity costs swinging wildly. The two sides signed a mining memorandum in September 2025, formalizing the plan.
Mining on the Farm
Tether runs mining sites on in-house software that the firm open sourced. That's a different approach from rivals like Michael Saylor, who prefer buying coins outright. Ardoino builds the power stack first, then mines. The Adecoagro deal fits that playbook: farmland, renewable energy, and a captive power supply for rigs.
The cow GIF post was a nod to the dairy side of the business, but the real story is the energy. With 230 megawatts at its disposal, Tether can scale mining operations without relying on the grid or paying market rates. The memorandum sets the framework, but the details of how much power will go to mining haven't been disclosed.
The Shrinking Reserve Cushion
While Tether expands into agribusiness, its financials are under scrutiny. KPMG signed off on the 2025 accounts, yet the verified excess reserve cushion has since shrunk 40%. That's a big drop for a stablecoin issuer that's supposed to keep a comfortable buffer above its liabilities.
The timing is awkward. Tether is spending money on a tender offer and building out mining infrastructure, while its reserve cushion erodes. The company hasn't explained the shrinkage, and the next attestation will show whether it's a one-time blip or a trend.
The mining memorandum was signed in September 2025, but neither side has said when the first rigs will plug into Adecoagro's grid. Tether's next reserve report will also reveal whether the cushion keeps shrinking. Both questions are open, and both matter.
