February 14, 2022
By Sharan Kaur Phillora
While China announced a ban on cryptocurrency mining and other digital assets last year, the USA found a great opportunity of hosting a very large number of bitcoin and other cryptocurrency miners.
Here’s what you need to know:
- Last June, China announced the launch of a policy to crackdown cryptocurrency mining and later a total ban on digital assets. With this, Beijing has caused a vast migration of miners to less repressive territories such as the United States.
- GEM Mining CEO John Warren believes that the US has been able to fill the void left by the Chinese withdrawal from the crypto space. GEM Mining is a private company based in Greenville, South Carolina, developing bitcoin mining activities.
- John Warren welcomed the move with a few sentences, excerpts of which are quoted below:
- “What you have seen over the past few years, with the repressive policies of China and Kazakhstan, North America – and specifically the United States – has truly become the bitcoin (BTC-USD) mining capital of the world.”
- When asked about migration related to bitcoin mining and on the relative energy consumption of this practice and the exemptions from sales tax, Warren said that “it is a positive thing for the United States.”
- Warren said that he recognizes that mining cryptocurrencies are energy-intensive, for the moment. But he affirms that his company is working to achieve carbon neutrality by 2026. He further added, “GEM Mining, my company, is 97% carbon neutral. There are very few companies in the United States that can say that. But a huge component, as you know, is energy. And some states are very child-friendly.”
- In an interview with Yahoo Finance Warren also mentioned that ” One of the biggest things is getting a sales tax exemption for all miners” thereby making the United States acquire the status of “world capital of bitcoin mining”.
About the author
Sharan Kaur Phillora’s thirst for knowledge has led her to study many different subjects, including NFTs and Blockchain technology – two emerging technologies that will change how we interact with each other in the future. When she isn’t exploring a new idea or concept, she enjoys reading literary masterpieces.