Recently, former president Donald Trump supported Bitcoin mining, as he believes it is the last ‘barrier’ against central bank digital currencies (CBDC).
Let’s see all the details below.
Summary
Trump sees Bitcoin as the solution to the threat of central bank digital currencies (CBDC)
As anticipated, the presidential candidate Donald Trump is once again at the center of attention for his growing interest in cryptocurrencies.
Recently, he indeed emphasized the importance of Bitcoin (BTC) mining. During a meeting at Mar-a-Lago, Trump’s resort in Palm Beach, the former president promised to support Bitcoin mining should he return to the White House.
The meeting saw the participation of various figures from the sector, including representatives from the Nasdaq-listed Bitcoin mining company, CleanSpark Inc., and Riot Platforms. S.
Matthew Schultz, co-founder of CleanSpark, shared on X that he met Trump, stating:
“I just met a big fan of Bitcoin who appreciates what we are doing with CleanSpark Inc. in Georgia, Mississippi, and Wyoming.”
At the same time, Trump stated on Truth Social his desire for the United States to produce all the remaining Bitcoin, thus motivating his recent support for the miners. Additionally, Trump criticized the current president of the United States Joe Biden, accusing him of being hostile towards BTC.
Trump emphasized that such a position would only favor countries like China and Russia, and believes that Bitcoin mining represents the last defense against central bank digital currencies (CBDC) developed by other nations.
The activity of Bitcoin mining has long been a subject of debate, particularly for its high energy consumption, criticized by both democrats and environmental activists around the world.
According to reports, the United States is the largest consumer of energy for Bitcoin mining, using an impressive one-third of the global electricity consumption for this activity. The country indeed employs 145.6 GWh per year.
China is in second place with 81.2 GWh, while Kazakhstan occupies the third position with an annual consumption of 50.9 GWh.
USA: the 2024 elections could decide the future of Solana ETFs
With the approach of the 2024 United States presidential elections, the fate of exchange-traded funds (ETF) on altcoins, such as Solana, could be strongly influenced by the political outcome.
Recently, the Securities and Exchange Commission (SEC) has shown some leniency, allowing fund managers to list spot ETFs on Ethereum.
However, the president of the SEC, Gary Gensler, has warned that it will take time before these ETFs are available. Trump’s victory could increase the chances of approval of an ETF on Solana.
The speculations on the next potential crypto ETFs have already begun, with Solana emerging as one of the main candidates.
Cathie Wood, CEO and CIO of ARK Invest, stated that major financial institutions will likely focus on leading cryptocurrencies when proposing new ETFs, citing Solana as a possible target.
Franklin Templeton, which manages approximately 1.64 trillion dollars in assets, praised the significant growth of Solana and suggested the possible launch of an altcoin fund:
“On Solana, we see Anatoly’s vision of a single atomic state machine as a powerful use case for decentralized blockchains, reducing informational asymmetry. And we are impressed by all the activity seen on Solana in Q4 2023: DePIN, DeFi, Meme Coin, NFT, Firedancer.”
In the meantime, CoinShares has recorded a significant increase in altcoin holdings among hedge funds and asset managers, with particular attention to Solana.
Considering Donald Trump’s pro-crypto stance, Bloomberg ETF analyst Eric Balchunas has suggested that his victory could create a more favorable environment for altcoin ETFs.
Trump could appoint a new SEC commissioner with a more permissive approach towards cryptocurrencies.
According to Balchunas, a Trump victory in the 2024 presidential elections could push ETF issuers to submit numerous new applications to the SEC:
“If Trump wins, we might see other currencies become ETFs.”
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