Russia’s intention to expand Bitcoin mining abroad may encourage other governments to follow suit at home.
According to an industry analyst, Russia’s intentions to build Bitcoin mining and AI computing facilities in the BRICS countries may encourage other countries to use state-owned resources for Bitcoin mining.
According to Nico Smid, creator of Digital Mining Solutions, “game theory is now in motion.” He told Cointelegraph that other nations would probably follow in the footsteps of Russia, El Salvador, Ethiopia, Bhutan, and the United Arab Emirates in using unused electricity to mine Bitcoin (BTC).
Russia’s sovereign wealth fund teamed up with BitRiver, a Russian data center operator, to build Bitcoin mining and AI computing facilities for the BRICS countries during the BRICS Business Forum in Moscow in mid-October.
As an alternative to the basket of local currencies and gold-back currency concepts originally discussed, the initiative might see the BRICS countries settle international commerce with Bitcoin.
In 2024, Egypt, Iran, Saudi Arabia, Argentina, Ethiopia, and the United Arab Emirates joined the club of big rising economies known as BRICS, which originally consisted of Brazil, Russia, India, China, and South Africa.
Its combined GDP is presently higher than that of the G7, a competing economic alliance headed by Germany, Japan, and the United States.
As the cryptocurrency sector continues to “hyperventilate” about the impending US election, the news mainly went unnoticed, Matthew Sigel, Head of Digital Assets at VanEck, told CNBC on October 28.
Russia’s sovereign wealth fund is investing in Bitcoin mining infrastructure throughout BRICS nations with the idea of settling global trade in Bitcoin
— VanEck’s Head of Digital Assets @matthew_sigel on @SquawkCNBC pic.twitter.com/lhJeMhbddO
— Business Blurb™ (@businessblurbb) October 28, 2024
“There’s tremendous urgency outside of the US to find a way to circumvent the irresponsible fiscal policy that we’ve been running in the US,” Sigel stressed in the CNBC interview.
Argentina, Ethiopia, and the United Arab Emirates are the three BRICS nations that are now mining Bitcoin using state-owned resources.
Hashlabs Mining founder Alen Makhmetov told Cointelegraph that Russia’s efforts to mine Bitcoin and use AI may be a part of a larger effort to obtain a geopolitical advantage.
Makhmetov clarified, “Russia sees a chance to expand its influence because of the limited IT infrastructure in these regions.”
“This aligns with its broader foreign policy of strengthening ties within BRICS as US support for these nations wanes.”
JUST IN: BRICS to use digital currencies for investment developments. pic.twitter.com/i7u7JFsC55
— BRICS News (@BRICSinfo) October 18, 2024
Smid stated that as a sizable amount of the network’s hashrate is presently centered in the US, Russia’s BRICS strategy will also “positively impact” Bitcoin.
“It creates opportunities for older mining equipment to remain productive in regions with lower energy costs, where mining at the current location might otherwise be unprofitable.”
It coincides with Russia’s planned Nov. 1 lifting of its ban on Bitcoin mining, but with certain restrictions.
According to Makhmetov, it requires all Bitcoin miners to register with the Federal Tax Registry of Russia and provide lists of their wallet addresses and equipment models.
Russia is presently dealing with growing power bills and a depreciating currency, so removing the ban on Bitcoin mining isn’t sure to be easy either, Makhmetov added.
“Russia is no longer a country with abundant, low-cost hydropower—electricity is becoming expensive due to a combination of excessive demand and the ruble devaluation.”
SEC confirms Grayscale’s application to convert Digital Large Cap Fund into ETF
The Securities and Exchange Commission (SEC) verified Grayscale’s application to convert the Grayscale Digital Large Cap Fund (GDLC) into an exchange-traded fund (ETF) two weeks after Grayscale filed it.
Grayscale will now have to wait a few more months for the SEC to respond.
Grayscale nears launch of multi-asset crypto ETF
The request to convert the Digital Large Cap Fund (GDLC) into an ETF was approved by the SEC on October 29. Assets that the SEC considers securities, such as Solana and XRP, are managed by the GDLC.
With this confirmation, Grayscale is one step closer to introducing the first cryptocurrency ETF with multiple assets. The SEC estimates that it will make a decision on the application in 45 to 90 days.
In the meantime, the United States will choose its next president within a week. Significant changes, including the possible removal of SEC Chairman Gary Gensler, might result from a Trump victory. According to industry analysts, if Trump wins, it may be easier for altcoin-related ETFs to be approved.
“Trump winning makes the path to a SOL ETF much easier and perhaps a more friendly SEC that doesn’t classify everything a security,” Mert, CEO of Helius Lab, commented.
When Grayscale submitted their proposal to turn GDLC into an ETF two weeks ago, the fund was trading at a substantial 30% discount. Now, this discount is only 17%. Investor excitement over the possible acceptance of the GDLC ETF is indicated by the shrinking discount.
According to BeInCrypto, Grayscale requested in a Form 19b-4 submitted to the SEC on October 15 that the Grayscale Digital Large Cap Fund (GDLC) be converted into a new exchange-traded fund (ETF).
Investors may get exposure to popular cryptocurrencies including Bitcoin (BTC), Ethereum (ETH), Solana (SOL), XRP, and Avalanche (AVAX) through the Grayscale Digital Large Cap Fund (GDLC). Currently managing approximately $558 million in assets, 94% of the fund is made up of Bitcoin and Ethereum.
Canary Capital, VanEck, and 21Shares have also submitted many applications to offer more spot ETFs associated with assets including Litecoin, XRP, and Solana.
Monthly SHIB burn rate indicates Shiba Inu may hit $0.0001 in November
Significant confidence was generated about Shiba Inu’s possibility to achieve $0.0001 ahead of schedule by the monthly SHIB burn statistics.
On Thursday, the monthly SHIB burn rate attracted a lot of attention since it dealt Shiba Inu’s supply a stunning hit. Nearly 125 million coins were burned in the last month, according to burn data that has surfaced in the market, raising hopes for the meme coin’s future price swings. Interestingly, market observers are aiming for a $0.0001 price objective for Shiba Inus in the near future because to the significant burn rise and recent ecosystem advancements.
Monthly SHIB burn date sparks optimism as millions of coins destroyed
An astounding 124.5 million Shiba Inu (SHIB) tokens were destroyed in the approximately 85 burns that took place this month, according to statistics from the tracker Shibburn on October 31. According to the statistics, there were 2.93 burning and an average of 4.291 SHIB burned per day this month. Following the law of supply and demand, the enormous quantity of coins burned stoked optimistic investor thoughts about the coin’s future moves. Tokenomics, in turn, reflects confidence as the market supply for cryptocurrencies suffers a severe setback this month.
Notably, the enormous increase in burn rate contributed to SHIB’s total circulating supply, which as of writing was 589.26 trillion coins. Additionally, it’s important to note that burn statistics showed that around 349 million coins were burned in September, which raised hopes for the coin’s future moves. All things considered, the sharp drop in the coin’s market supply has given its future movements a more optimistic tinge.
Furthermore, CoinGape Media stated that Shibarium activity increased noticeably this month, even if the SHIB burn continued to see astounding surges. This story has given rise to even more hope regarding the future movements of meme cryptocurrency.
Shiba Inu to $0.0001 possible?
The price of SHIB was $0.00001857 at the time of writing, down about 2% over the previous day. $0.00001823 and $0.0000192 were the coin’s intraday low and high, respectively. Interestingly, despite the enormous SHIB burn described above, the monthly chart showed a small 1% gain value. Market players now have conflicting theories on whether the meme token will reach $0.0001 in November.
Nonetheless, investors have been advised to continue monitoring the token due to recent ecosystem events and the significant burns. Shiba Inu is one among the top cryptocurrencies that cryptocurrency investors have been holding the longest, according to an analysis. Bullish forecasts have been strengthened by this data, which highlights the asset’s growing market confidence.
It’s also important to note that Shytoshi Kusama, the token’s primary creator, contributed to the market craze by highlighting how the meme coin outperformed Bitcoin at the same time. Market confidence in the meme-themed digital asset’s capacity to rise has increased as a result of this chronicle.
Additionally, a recent study of the price of SHIB by CoinGape Media indicates that a price objective of $0.000081 is imminent for the token due to the recent bullish movement of the broader market, the impending U.S. elections, and the meme coin’s rising market capitalization. A run to $0.0001 might also be anticipated in the future if the meme coin reaches this level.
