n June 12, 2024, former US President Donald Trump met with executives from top Bitcoin mining firms CleanSpark and Riot Platforms at his Mar-a-Lago estate in Florida. According to those in attendance, Trump expressed his continued support for Bitcoin and belief that cryptocurrency mining can benefit the United States. He told the mining company leaders that their operations help stabilize the electricity grid by providing flexible power demand. This ability to quickly ramp up or down energy usage makes Bitcoin miners valuable partners for utility companies trying to balance supply and demand in real-time.
Securing Bitcoin's Future
Later that night, Trump took to his social media platform Truth Social to share his thoughts on Bitcoin and mining. He wrote that "Bitcoin mining may be our last line of defense against a CBDC (central bank digital currency). Biden’s hatred of Bitcoin only helps China, Russia, and the Radical Communist Left." This lines up with Trump's previous criticisms of President Biden and indicates his view that Bitcoin can counter foreign influence. He then stated, "We want all the remaining Bitcoin to be MADE IN THE USA!!! It will help us be ENERGY DOMINANT." This implies Trump sees ramping up domestic Bitcoin mining as strategic both economically and geopolitically.
American Energy Dominance
With an estimated 90% of Bitcoin's total 21 million coin supply already mined, only around 2.1 million coins remain to be unlocked through the proof-of-work mining process. Trump believes expanding American mining operations can help the U.S. achieve "energy dominance" by utilizing local power sources. Currently, top mining hubs include China, Kazakhstan, and Russia - all countries that control significant fossil fuel reserves. However, the U.S. is also rich in energy resources like natural gas and renewables. In parts of Texas and other states, surplus electricity goes to waste due to insufficient demand or transport infrastructure. Bitcoin farms could provide an outlet for this excess supply. They also add resilience to grids by gobbling up intermittent renewable power during high production periods.
Boosting Rural Economies
Rather than seeing mining as an environmental threat, Trump views it as an opportunity for small towns. Establishing mining centers in economically depressed regions of Appalachia and the Midwest could revitalize local economies. Some rural states like Kentucky have already passed friendly legislation and seen millions in mining investment pour in. This uptick in jobs and infrastructure builds on similar success stories from oil and gas "fracking" during the previous administration. While power demands of large-scale mining do raise emissions concerns, using stranded assets like flare gas and electricity from next-gen nuclear plants could curb its carbon footprint. With proper regulations on energy sources and waste heat recapture, Trump argues Bitcoin farming supports American workers without compromising the climate.
Countering CBDC Advances
Perhaps the strongest motivation behind Trump's calls for expanded US mining is slowing China's growing dominance over Bitcoin and digital assets overall. As the country where most coins are currently unlocked, China has outsized influence over on-chain decisions and the mining ecosystem. This level of control from a geopolitical opponent runs counter to American economic and national security priorities. Furthermore, China is progressing rapidly in developing and piloting a digital yuan CBDC that could undermine the dollar's global position. Trump sees Bitcoin as a private sector alternative that decentralizes currency power. Ensuring more coins are verified through mining nodes located domestically strengthens the US's hand in influencing Bitcoin's long-term development direction. It provides greater ability to defend open financial networks versus centralized state-controlled payment rails.
