The Town That Rebelled Against the Crypto Farm That Kept It Awake for Six Months
Santa Lucía de Villarrica, Paraguay – Nestled in a small valley three hours from Asunción, the capital of Paraguay, lies the town of Santa Lucía de Villarrica. A peaceful town that became unwillingly caught in the sights of cryptocurrency mining, it faced an unexpected and relentless adversary in 2024: a massive bitcoin farm operated by the Canadian company Bitfarms. Over six harrowing months, the residents endured unceasing noise pollution, leading to a community uprising against the disruptive crypto operation.
A Constant Buzz That Shattered Lives
The initial sign of trouble was a sound—a low, persistent buzzing. Nurse Irene Brizuela, 32, first heard it in June 2024 and thought it might be a beehive. Unfortunately, for her five-year-old son on the autism spectrum, the noise signaled the start of constant distress, triggering frequent crises. “He began to cry and shake. We had to close the door to his room so that he wouldn’t hear it,” Brizuela recalls.
Similarly impacted was José Luis Figueredo, an accountant living half a mile away from the bitcoin farm. The noise felt to him like “a truck lugging a semi-trailer around my home’s interior, 24 hours a day.” The chronic disruption took such a toll that Figueredo resorted to sleeping pills and contemplated drastic measures out of desperation.
Inside the Crypto Farm: Power-Hungry and Loud
Bitfarms’ facility occupies five hectares on a hillside overlooking Santa Lucía. Inside, 16,200 processors—powerful computers that solve complex mathematical puzzles to mine bitcoin—operate nonstop. Mining cryptocurrency demands vast amounts of electricity, and according to Bitfarms’ 2024 report, this facility uses as much power in six months as 47,500 families annually.
To prevent the machines from overheating, thousands of fans and hot-air extractors continuously run, supplemented by immersion cooling systems for a subset of the processors. This combination of machines, processors, and cooling systems produced the intrusive noise that haunted Santa Lucía’s residents for half a year.
Health Impact: Beyond Irritation
The World Health Organization (WHO) advises that ambient noise levels should not exceed 70 decibels during the day and 55 decibels at night in urban environments. Yet measurements taken in July 2024 registered 75 decibels during the day near the Bitfarms installation—surpassing both WHO and local regulatory limits. Residents faced this excessive noise 24/7. Health professionals warned of the consequences. Psychologist Maureen Montanía explained that continuous noise exposure can lead to chronic stress, anxiety, depression, and sleep deprivation. Individuals on the autism spectrum are especially vulnerable due to hyperacusis, a heightened sensitivity to sound likened by Montanía to enduring the sensation of a chainsaw near one’s ears all day long, even with earplugs.
Luz Aranda, a psychologist herself and director of the mental health department at Villarrica’s regional hospital, described the experience as psychological abuse. The sleeplessness and stress caused by the noise left her feeling powerless and angry. “It makes me want to go break something,” she confessed.
Medical research corroborates the damaging health effects of noise pollution. Studies have linked long-term exposure to increased risks of anxiety and general mental health problems, as well as cognitive impairments in children.
Municipal Oversight Under Scrutiny
An investigation by El Surti and EL PAÍS uncovered irregularities in the permitting process by Villarrica’s municipal and environmental authorities. Bitfarms was allowed to operate in a mostly residential neighborhood with houses less than 165 feet away, creating direct conflict with existing zoning and environmental protections.
The community’s suffering finally prompted action. The city’s public prosecutor’s office filed charges against Bitfarms for causing harmful noise offenses, a small victory for the residents who had endured months of torment.
Paraguay’s Crypto Energy Boom: Blessing and Burden
Paraguay’s abundance of cheap, renewable hydroelectric energy—largely thanks to the Itaipú dam shared with Brazil—has attracted many cryptocurrency companies. The country produces far more electricity than it uses domestically, exporting surplus power to Brazil at below-market prices. However, such energy policies have sparked political debate about economic and environmental sustainability.
Bitfarms is only one player in a burgeoning industry. The Villarrica municipality issued permits for at least eight other crypto mining farms in residential and commercial zones, and at the national level, 46 miners had contracts with the state-run National Electricity Administration (ANDE).
Demand for power from these massive farms is skyrocketing. In 2024 alone, crypto mining companies contracted enough state electricity to supply a city of 750,000 residents—the approximate population of Asunción—for over $100 million. This figure excludes smaller operations powered by regional companies or illegal miners siphoning power.
In response to rising consumption, ANDE raised electricity prices for miners, causing approximately 35 companies, mostly domestically owned, to cease operations. Industry representatives considered relocating to neighboring countries like Bolivia, although environmental and cost concerns remain.
The Crucial Balance: Energy, Economy, and Community Wellbeing
The situation in Santa Lucía exemplifies the complex challenges of balancing technological and economic development with community health and environmental stewardship. While Paraguay’s status as a hub for renewable energy and cryptocurrency mining offers financial opportunities, it also exposes the darker impacts—noise pollution, health issues, and regulatory gaps—that demand urgent attention.
As residents of Santa Lucía continue their fight for quieter and healthier living conditions, their story serves as a cautionary tale for other communities facing the disruptive advance of crypto farms in residential areas.
Reported by Denise Báez and Josué Congo from Villarrica, Paraguay, and published by EL PAÍS International.