Trump will not impact Bitcoin’s mining “in the short term”

Four days after his second term as president of the United States, Donald Trump has already launched his first measures linked to Bitcoin (BTC) and cryptoactives.

Among them, the signing of an executive order to create a national reserve in digital assets and the possible custody of Bitcoin by banks.

However, from the other side of the world They do not consider Trump’s assumption I significantly hit the short term on a specific sector: Bitcoin mining. This is what Haipo Yang, Chinese businessman and founder and CEO of the pool Chinese mining of Bitcoin Viaabtc and Exchange Coinex cryptocurrencies,

“Regarding Trump’s possession, I don’t expect a great direct impact on the mining industry. The United States already operates within a legal framework for cryptocurrency mining, and it is unlikely that this changes significantly in the short term due to a new presidency. ”

Haipo Yang, CEO of Viaabtc.

At present, Viaabtc, along with another pool Chino, Antpool, occupy second place as Pools Bitcoin mining of the world, with 115.96 eh/s (exahashes per second), according to data from Mempool. This figure positions them both pools with the 16.03% of the total processing power concentrated by this kind of mining services.

Viaabtc is one of the world’s largest BTC mining pools. Fountain: Mempool.

The Viaabtc CEO believes that Trump will boost the adoption of cryptoactives

In contrast to the previous declaration, Haip Increase the adoption of cryptoactives and cause an increase in the prices of digital currencies in the long term.

While the Viaabtc note was launched on January 23, today, a day later, it should be mentioned that Yang’s predictions are being fulfilled. This since, after the news of the first Trump measures linked to cryptocurrencies, for example, the executive order for a national reserve in digital assets, Bitcoin’s price rose from $ 103,000 to 106,000 approximately, according to the data of COIN MARKET CAP.

Thus, if the quotes of minable currencies rise, Bitcoin and cryptocurrency mining would be benefited, since the profitability of this activity depends mainly on the price of assets.

In this regard, Yang stressed that Trump’s posture change regarding cryptocurrencies was an aspect that favored the adoption of cryptoactives:

“The favorable change Donald Trump had during his presidential campaign reflects a growing increase in public support for cryptocurrencies.”

Haipo Yang, CEO of Viaabtc.

During the first mandate of Donald Trump, between 2017 and 2021, he showed a distant and pessimistic posture about cryptocurrencies. The new approach and its favorable promises of Trump for Bitcoin and cryptoactives, They would have opened a new positive picture, according to Yang. This new positive panorama is confirmed after the executive order to create a national reserve in digital assets in the US.

Haipo Yang believes that Trump’s arrival would increase the adoption of cryptoactives. Source: Cryptonotic.

The United States and Russia, the two mining powers of Bitcoin of the world

For Yang, the United States and Russia are currently the two largest powers in the world in terms of Bitcoin mining. However, he pointed out some important differences in the conditions of these countries to carry out the activity.

According to the Viaabtc CEO, although the United States faces high electricity costs, it benefits from a solid legal certainty which provides confidence to investors, in addition to close access to large capitals. These conditions allow to develop mining operations with financial and regulatory support, but at a higher cost due to the high price of energy.

Regarding energy costs in the US Trump, during his campaign, he said that the production of various energy sources and would reduce the cost of electricity consumption, among other amendments.

On the other hand, Yang said that Russia has A competitive advantage in terms of electrical resourceswith an abundance of energy at a lower cost, which favors the profitability of mining in that region.

The founder of Viaabtc also stressed that until recently the lack of regulatory clarity had been an obstacle to the growth of the sector. Now, with the implementation of more defined regulations, I expected the Russian mining industry to experience more accelerated development.

However, in contrast to Yang’s thinking, cryptootics recently reported that Putin and his government prohibited Bitcoin mining in specific regions of Russia, and even in Ukraine, and that, in addition, they evaluate the imposition of particular taxes to those who dedicate themselves to This activity. These circumstances, despite the law that legalizes Bitcoin mining, leads to a Restrictive and prohibitive environment for miners.

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