On the first November, Bitcoin unexpectedly dropped by close to $2,000. many attributed this decrease to the decline of Trump’s odds winning the election on polymarket.com and predictit.org. the trading or gamification of political elections is something worth studying but i guess it also can help improve voter turnout.
in a video published by bitcoin magazine in July 27, Donald Trump announced that he would make the united states the crypto capital of the planet and bitcoin superpower of the world. Donald Trump also promised that if he is elected, his administration will keep the actual (203,239 according to bitcointreasuries.net) bitcoins hold by the government of the united states as
a strategic assets.
JAMES BUTTERFILL in COINSHARES RESEARCH BLOG estimate the average cost to produce one bitcoin across all listed miners to us$96,100 !!!!
What does this mean? it means that the industry need bitcoin to reach us$100,000 to at least cover their costs.
How can Bitcoin reach us$100,00? Retail investors can not hold an investment for a long period of time, institutional CAN. if a sufficient number of institutional invest in bitcoin with no intention to sell in the near time, buyer will find it difficult to buy, the price will rise and mining companies will than be able to sell (if they have no other choice) their bitcoin with profit.
According to our research there’s 14 crypto mining publicly traded company in the united states, together they realized $B1.5 revenue related to mining and employed 1,508 in 2023.
The same 14 companies published a total loss of about $-400M. but they are the miners, the market suppliers and their bitcoin portfolio is estimated at billions.
The importance of the crypto mining sector for the united states is related to :
- allowing the expansion of renewable energy capacity by monetizing waste energy,
- investors buying crypto from miners located in the united states,
- maintaining an upgraded local data centers infrastructure,
- allowing technology companies to diversify and optimize their business model,
- providing local workforce with high quality job opportunities,
- developing workforce engineering skills in a critical field for the united states,
Bitcoin is not a currency!?
on October 22, 2024 the ECB European central bank published a research paper titled THE DISTRIBUTIONAL CONSEQUENCES OF BITCOIN, the paper suggest that bitcoin is not a currency but an investment asset.
The paper also highlight the re-distributive effects of bitcoin on 3 different population:
- early bitcoin holders,
- non holders,
- latecomers,
Corporate Bitcoin treasuries
on October 24, 2024 STOKR published a press release announcing that they will establish Europe’s first corporate bitcoin treasuries under the CASP crypto asset service provider regulated status. STOKR plans to follow MICROSTRATEGY model and aggressively expand it’s bitcoin holding over the coming years.
Strategic Bitcoin Reserve for the united states
on November 3, 2024 Bitcoin policy institute released a report endorsing a strategic bitcoin reserve for the united states.
The report suggest that the SBR will :
- provide option value against monetary devaluation and debt instability,
- counter adversaries exploring alternative to dollar dominance,
- help sustain investment in renewable energy,
- align with core US values of individual freedom and financial inclusion.
Digital monetary photosynthesis!!!
on November 04, 2024 Deutsche telekom published a post announcing a pilot project that aims to provide data for stabilizing energy grids.
The pilot project will convert surplus energy from photovoltaic and wind power into digital values through a bitcoin mining infrastructure.
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