A big change in location could really be good for Bitcoin, as large miners are now leaving China once the country has taken up Bitcoin mining. Galaxy Digital CEO Mike Novogratz has replicated other experts and calls for transformation around the globe into a potential positive development.
Novogratz mentioned in Bloomberg that the oppression of almost everything in China, such as banning mining, banning leverage, and even banning Bitcoin in some places, hasn’t really affected Bitcoin that much. “It still exists, it survived,” Novogratz said. He even said that the migration of miners from China could be “a big net positive for the ecosystem.”
Novogratz even called the cryptographic ecosystem as a whole a solid system. In it, he probably referred to Bitcoin’s recent 65 percent drop, but at the same time, the coin didn’t fall below the $ 25,000 mark. “We had a crash, we didn’t have a crash protection team. We had no lawsuits. The system worked as it should. It is a very solid system built in a short amount of time. “
Novogratz also believes Bitcoin has engraved its band into digital gold. He reminded listeners that gold has existed for 3,000 years. He expressed his unwavering confidence in bitcoin, saying, “I expect Bitcoin to be the digital gold version for the next 3,000 years.”
Bitcoin mining itself is an energy-intensive process and has so far been done largely from Chinese regions. China has long been home to half the world’s Bitcoin miners. Now that Beijing wants them out, many of them can move to Kazakhstan, which has cheap electricity and an encryption-friendly government.
But even more interesting, it looks like Texas may become a new center for Bitcoin mining, a real game changer in the area, now that Shenzhen-based company BIT Mining plans to invest $ 26 million in a 57-megawatt data center there. Texas could also be an ideal destination for miners thanks to its abundant solar and wind power, unregulated markets, and encryption-friendly political vision. Texas has the lowest energy prices in the world, and its share of renewables will only grow over time.
Cleaner and more environmentally friendly Bitcoin mining can be a good reason for large companies to invest in bitcoin in the future, which can increase its value.