U.S. Bitcoin Mining Control” After meeting with prominent figures in the Bitcoin business, President Trump stated his desire for all future Bitcoin mining in the United States. Trump met with Jason Les, CEO of Riot Platforms, and Brian Morgenstern, head of public policy, on June 12. Following this, Trump endorsed American mining companies on Truth Social:
Greg Beard, CEO of Stronghold Digital Mining and former head of energy at Apollo, spoke with Cointelegraph to acquire an insider’s take on Trump’s Bitcoin $66,307 epiphany. Beard asserted that the United States should take the lead in promoting and protecting Bitcoin as a substitute for the value-deflating sovereign-backed currencies.
“As Bitcoin miners, we’re a new and maturing industry,” Beard added, adding that U.S. President Joe Biden should join Trump in fighting for Bitcoin instead. Bitcoin is the correct asset for American culture and beyond, and we believe in what we do. Any administration’s support would be greatly appreciated.
Beard might get what he wants. Despite the Biden camp’s muted endorsement, rumors have circulated that his team is quietly arranging for cryptocurrency donations to be made soon. Much to the delight of Bitcoin’s fan base, Trump intervened on X. Among those hopeful about the long-term effects of Trump’s endorsement was Jan3 CEO Samson Mow.
“Governments around the world will be discussing this move from Trump behind closed doors,” Mow stated on June 13. “[Conventional] news organizations have begun discussing it. Yesterday, we witnessed the Chinese government’s backing of Bitcoin via the Industrial and Commercial Bank. All of this is going to accelerate the process even further.
“You don’t know Donald Trump at all,” remarked another X user, who claimed that Trump would utilize the Bitcoin price as a daily numerical metric for his second term’s success. On the other hand, not everyone was as impressed. One of the people who disagreed was Unchained Podcast host Laura Shin.
However, Shapeshift’s founder, Erik Voorhees, warned Shin not to focus on Trump’s exact words. Trump’s comments shown “both a lack of understanding of Bitcoin and a lack of understanding of economics broadly”—“nonsense.” “This statement creates a welcoming environment for Bitcoin in the U.S., which is great,” Voorhees said.
A Contrarian View
The analysis by Kerrisdale Capital, an investment firm, criticized the business, but Trump has embraced Bitcoin mining in the United States. According to a report published at the beginning of the month, bitcoin mining is one of the worst business models for a public company we have ever met.
The United States should not limit itself to Bitcoin when considering other cryptocurrencies to support, says Sahm Adrangi, chief investment officer at Kerrisdale Capital. Bitcoin mining’s impact on the environment and electricity usage were two issues that Adrangi brought up.
U.S. Bitcoin Mining Control “I believe the United States of America is not required to back Bitcoin. Adrangi informed Cointelegraph that other alternative cryptocurrencies might replace it without consuming as much energy. “I think the entire industry should leave the U.S., he remarked.
Kerrisdale Capital points out that Bitcoin mining
Kerrisdale Capital is shorting Riot Platforms, one of the significant U.S. mining companies. To counter Riot’s aggressive tactics, Kerrisdale’s Adrangi lobbied state lawmakers to reject tax advantages and other special treatment. Riot had loftier ambitions while Adrangi was courting state lawmakers. According to Beard’s interview with Cointelegraph, policymakers see the business’s potential.
He stated, “People and legislators are starting to get it” that Bitcoin mining improves energy efficiency. Bitcoin miners benefit from demand that comes and goes. Because of this, miners can control their energy consumption and send power back to the grid almost instantly.
Concerning Trump’s claim of energy supremacy, Beard explained how Bitcoin mining could assist in grid stabilization: “At the moment, we are beginning to perceive the destabilizing consequences of rapidly incorporating intermittent and limited-duration sources, such as solar and wind,” he said. To help with grid balancing and the shift to renewable energy, bitcoin mining provides a variable load option.
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FAQs
Who are the key figures involved in U.S. Bitcoin mining policy discussions?
Key figures include Riot Platforms CEO Jason Les, Stronghold Digital Mining CEO Greg Beard, and Samson Mow, CEO of Jan3, among others.
Why does Kerrisdale Capital oppose Bitcoin mining in the U.S.?
Kerrisdale Capital criticizes Bitcoin mining’s environmental impact and questions its suitability as a sustainable business model.
How can Bitcoin mining benefit U.S. energy stability?
Bitcoin mining provides flexible energy demand, allowing miners to return unused energy to the grid, aiding in grid stabilization.
