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Yesterday — 5 December 2025Main stream

Bitcoin’s Dark Energy: Malaysia Cracks Down, Seizing 14,000 Rigs Over $1B Power Theft

5 December 2025 at 05:00

According to utility records and media reports, Malaysian authorities have begun a nationwide crackdown on illegal Bitcoin mining after state power losses linked to miners topped roughly $1.1 billion between 2020 and August 2025.

The push targets nearly 13,800–14,000 sites suspected of tapping power without paying. Actions have included drone sweeps, meter inspections and on-the-ground raids.

Task Force Launches Drone And Ground Sweeps

Based on reports, a multi-agency task force was formed that includes the national utility Tenaga Nasional Berhad (TNB), police and other regulators. Drones fitted with thermal cameras and teams with special meters have been used to spot heat signatures and odd power draws in warehouses, shuttered shops and even residential blocks.

Bitcoin mining hardware were seized in several operations and arrests were reported in at least a few cases where evidence of meter tampering was found.

Illegal Bitcoin Mining: Estimated Losses And Numbers

The scale is large. Reports have disclosed losses of about $1.1 billion, which is roughly RM 4.57 billion, and investigators say the number of illicit premises discovered since 2020 is close to 14,000.

Authorities warned that power theft linked to mining has climbed sharply in recent years, with some sources pointing to an increase of about 300% since 2018. Many operators pick low-cost hiding spots and keep moving to avoid detection.

Legal And Policy Questions Loom

While Bitcoin mining itself is not outright banned in Malaysia, stealing power and bypassing meters is illegal under the Electricity Supply Act 1990. Officials are weighing tougher steps. Some lawmakers and energy officials have raised the option of stricter licensing, smarter metering or even temporary bans on certain operations if theft continues.

Based on reports, the effort is meant to protect grid stability and stop long running losses that hit the utility’s bottom line.

Safety Risks And Grid Strain

Beyond the money, authorities say there are safety concerns. Tampered connections and overloaded lines raise the risk of short circuits and fires, and they can damage transformers and other costly equipment.

In some areas, local residents reported flickering lights and unstable supply, which investigators link to abnormal draws found at nearby illegal mining sites. Those technical strains add urgency to enforcement.

What Comes Next

Reports suggest enforcement will rely on a mix of tech—drones, thermal scans, smart meters—and traditional policing. For now, the immediate goal is to shut down rigs, seize equipment and bring legal action against operators who took power without paying. The long term path may include clearer rules for legal miners and tighter monitoring across the grid.

Featured image from Pexels, chart from TradingView

Before yesterdayMain stream

Senior Kremlin Official Proposes Counting Crypto Mining as Russia’s “Hidden Export”

By: Amin Ayan
4 December 2025 at 05:10

Crypto mining should be treated as a form of export in Russia’s official trade accounts, according to senior Kremlin official Maxim Oreshkin, who argued that large volumes of mined digital assets effectively flow abroad even if they never cross a physical border.

Key Takeaways:

  • Senior Kremlin official Maxim Oreshkin wants crypto mining to be counted as an export.
  • Industry leaders say Russia already produces tens of thousands of Bitcoins yearly, generating roughly 1 billion rubles per day in revenue.
  • Tighter rules now impose up to 25% corporate tax on mining income.

Speaking at the Russia Calling! investment forum, Oreshkin said the industry generates “enormous sums” that remain outside formal statistics despite influencing the foreign-exchange market and the balance of payments.

Russia Moves to Classify Crypto Mining as a New Export

Russia legalized cryptocurrency mining on November 1, 2024, and Oreshkin described the sector as a “new export item” that the country “doesn’t value very well.”

Because crypto can be used to pay for imports through alternative channels, he said, those transactions should be counted when the state measures trade flows and currency dynamics.

Industry figures say the scale is already material. Oleg Ogienko, chief executive of Via Numeri Group, estimates that Russia’s output of proof-of-work assets this year could equal “tens of thousands” of Bitcoins.

Sergey Bezdelov, head of the Industrial Mining Association, put production at about 55,000 BTC in 2023 and roughly 35,000 BTC in 2024, citing the network’s halving as a drag on miner rewards.

#BITCOIN MINING IS NOW LEGAL IN RUSSIA 🇷🇺 pic.twitter.com/r8D0ddMMJS

— The Bitcoin Conference (@TheBitcoinConf) November 1, 2024

The revenue impact is also significant. Mikhail Brezhnev, co-founder of mining supplier 51ASIC, estimates daily mining income across the country at around 1 billion rubles, a figure he links to Russia’s share of global computing power and Bitcoin’s price.

Because mined coins can be used directly to settle import bills, Brezhnev says the case for recording those flows in official statistics is straightforward.

Regulators, meanwhile, are tightening oversight. Legal entities and sole proprietors must register with the Federal Tax Service to mine, and hosting providers are listed in a separate registry.

Household miners are exempt from registration only if they consume less than 6,000 kWh a month, though all income must be reported.

Corporate mining is taxed at 25%, while individuals face progressive rates of 13–22%; non-residents pay 30%.

Illegal Crypto Mining Drains Russia’s Power Grid and Tax Base

As reported, a recent Russian media investigation revealed that illegal and semi-legal crypto mining is costing the country millions of dollars each year through stolen electricity and unpaid taxes.

Broadcaster Ren TV reports that many miners avoid registering their operations to escape high power tariffs and tax obligations, pushing large parts of the industry into the shadows and creating billion-ruble losses for the state budget.

Although Russia now permits industrial crypto mining and offers legal status to registered operators, smaller miners are reportedly refusing to comply.

While major firms such as BitRiver and Intelion work within the system, many independent operators are accused of resorting to meter manipulation, bribery, and secret agreements with utility workers.

As a result, households and legitimate businesses are said to be absorbing the cost of stolen electricity.

The post Senior Kremlin Official Proposes Counting Crypto Mining as Russia’s “Hidden Export” appeared first on Cryptonews.

Neopool Reports Record $15+ Million in Bitcoin Payouts to Miners in November 2025

3 December 2025 at 12:47

Bitcoin Magazine

Neopool Reports Record $15+ Million in Bitcoin Payouts to Miners in November 2025

Dubai, UAE – December 1, 2025 — Mining pool Neopool reported a record 169 BTC (approximately $15 million USD) in payouts to its global miner network for November 2025. 

This volume reflects Neopool’s expanding market presence and operational performance since its inception earlier this year. Independent data from miningpoolstats.stream continues to rank Neopool as the most efficient mining pool worldwide. 

“Reaching $15 million in monthly payouts is a direct result of the trust our mining partners place in us,” stated Andrei Kapeikin, CEO of Neopool. “We built Neopool to offer more than just scale; we deliver the efficiency, transparent FPPS payouts, and dependable daily settlements that directly enhance miner profitability.” 

The pool’s growth has been rapid, breaking into the global top-15 within months. This performance is driven by proprietary optimization technology, a low-latency global routing infrastructure, and a foundational commitment to transparency. 

The November record was set during a period of increased Bitcoin network difficulty, demonstrating how Neopool’s technical focus provides a competitive edge. 

“Other pools often prioritize hash rate volume,” Kapeikin noted. “We’ve shown that technical excellence and transparency are what ultimately drive value. Our miners’ daily results — and this monthly record — are the proof.” 

Neopool remains focused on advancing its infrastructure and optimization algorithms, strengthening its position as an independent, high-performance alternative for the global mining community. 

For details on performance metrics and mining solutions, visit neopool.com

About Neopool 

Neopool is a next-generation Bitcoin mining pool, rapidly achieving a top-15 global ranking and the #1 spot for daily PPS efficiency. Founded by a team with over a century of combined experience in mining and IT, we combine proprietary algorithms, robust infrastructure, and transparent FPPS payouts. We serve miners worldwide with automated daily settlements, a low 0.001 BTC payout threshold, and 24/7 support. 

Contacts: Kseniya PR manager kseniya.v@neopool.com


Disclaimer: This is a sponsored press release. Readers are encouraged to perform their own due diligence before acting on any information presented in this article.

This post Neopool Reports Record $15+ Million in Bitcoin Payouts to Miners in November 2025 first appeared on Bitcoin Magazine and is written by Bitcoin Magazine.

Horeb Energy and Veolia Are Mining Bitcoin At 2.5¢/kWh With Colombian Landfil Biogas

By: Juan Galt
3 December 2025 at 09:00

Bitcoin Magazine

Horeb Energy and Veolia Are Mining Bitcoin At 2.5¢/kWh With Colombian Landfil Biogas

Colombian Bitcoin and crypto mining company Horeb Energy reveals 2.5 cents per kWh of green biogas energy in the North Santander region of the Latin American country. The company has achieved energy prices 50% lower than the North American average of 3.5 to 6 cents per kwh for Bitcoin mining operations, through a strategic alliance with multinational energy company Veolia. 

Authorized in 1853 by Napoleon III to help build out public water works infrastructure in France, Veolia is a global leader in environmental services focused on water, waste, and energy solutions. Today in Norte de Santander, Colombia, the company operates critical facilities dedicated to biogas valorization and solid waste management — a common problem in Colombia and Latin America in general, known for massive landfills.  Veloia also operates the “Centro Inteligente de Gestión Ecológica” – CIGE Guayabal landfill, a pioneer in biogas systems development in the region. 

Horeb Energy — the Bitcoin mining arm of the operation — specializes in technological solutions for biogas treatment and renewable energy production from waste. “It’s collaboration with Veolia in this pilot project sets a milestone for new sustainable business models in the global cryptocurrency mining sector,” the company said in a press release, adding that “The project aims to reduce the region’s carbon footprint significantly and demonstrates Veolia’s strong commitment to accelerating the ecological transformation of local territories.”

Through this pilot project, biogas generated at the CIGE Guayabal landfill by Veolia is transformed into electricity to supply a secure, standalone data center dedicated to cryptocurrency mining. Horeb Energy oversees advanced biogas filtration and energy conversion processes, and the Bitcoin mining dimension, which unlocks new economic models for energy infrastructure development in the region.

One year after its launch, the program boasts tangible results with the production of “nearly 1,000 kWh of 100% renewable energy”, powering an entirely off-grid Bitcoin container and mining system. This unique approach in the Colombian market provides an alternative use for methane gas — a byproduct of waste decomposition that poses environmental challenges for landfills.


Humberto Posada Cifuentes, General Manager of Veolia in Norte de Santander, said in a press release that this pilot “demonstrates that with innovation and strong local leadership, we can turn waste into value and contribute meaningfully to the clean energy transition.”

Arley Lozano, Operations Manager of Horeb Energy, told Bitcoin Magazine that they had achieved 2.5 cents a kWh in green energy, adding that “we are proud that this project has been developed by local talent in partnership with Veolia. Our goal is to replicate this model in other municipalities across Colombia and throughout Latin America.”

This post Horeb Energy and Veolia Are Mining Bitcoin At 2.5¢/kWh With Colombian Landfil Biogas first appeared on Bitcoin Magazine and is written by Juan Galt.

Eric Trump-Linked American Bitcoin Stock Crashes 40% as Lockup Ends

By: Amin Ayan
3 December 2025 at 04:47

Shares of American Bitcoin, the mining and accumulation firm co-founded by Eric Trump and Donald Trump Jr., tumbled sharply on Tuesday after a portion of the company’s stock was released from its lockup period.

Key Takeaways:

  • American Bitcoin shares plunged nearly 50% after newly unlocked stock hit the market following the lockup expiry.
  • Eric Trump dismissed the selloff as expected and said he has no plans to sell his personal stake.
  • Investor nerves remain high as ABTC is still down about 76% from its September peak despite strong earnings growth.

Data from Google Finance showed ABTC plunged nearly 50% within the first hour of trading, falling to as low as $1.80 from a prior close of $3.58.

The stock recovered modestly through the session but still ended the day down 38.83% at $2.19, highlighting the impact of newly unlocked shares hitting the market.

Eric Trump Shrugs Off ABTC Selloff After Lockup Ends

In a post on X, Eric Trump said the selloff was expected, noting that pre-merger private placement shares had just unlocked.

He added that the company’s business remains strong and that he has no plans to sell his own holdings. American Bitcoin listed on Nasdaq in September after completing its merger with Gryphon Digital Mining.

The sharp drop came despite solid financial results last quarter. In October, the company reported third-quarter revenue of $64.2 million, up from $11.6 million a year earlier, while net income swung to a $3.5 million profit from a $0.6 million loss.

Chief executive Michael Ho said at the time the firm had more than doubled its mining capacity and improved margins, citing a seven-point increase quarter over quarter.

Thanks @Coachjv_. Today our pre-merger private placement shares unlocked — these early investors are freely available to cash in on their profits for the first time which is why we will see volatility.

Our fundamentals are virtually unmatched and our differentiator: mining BTC… https://t.co/7h1Aqjt8iE

— Eric Trump (@EricTrump) December 2, 2025

American Bitcoin has also been building its treasury. As of Nov. 13, the company said it held about 4,090 BTC, including coins kept in custody or pledged toward new mining equipment.

Management has framed the strategy as a push to increase direct exposure to Bitcoin while also growing production volume.

Even so, the recovery attempt failed to reverse a broader decline in the stock since its September peak of $9.31.

Shares are now down roughly 76.5% from that high, reflecting investor caution around supply unlocks and volatility tied to early backers exiting positions.

The selloff mirrors a wider slump in crypto-linked equities. Shares of Coinbase have fallen about 20% over the past month, while USDC issuer Circle is down 39%. Exchange operator Gemini has dropped 47% in the same period.

Democrats Accuse Trump of Using Presidency to Enrich Family

As reported, Democrats on the House Judiciary Committee released a report accusing the Trump administration of using presidential authority to benefit the Trump family’s crypto businesses, claiming roughly $800 million was generated from token sales in early 2025.

The report alleges the president blurred the line between public office and private profit, and estimates that Trump family crypto holdings could reach $11.6 billion, though exact values are difficult to verify.

The findings raise concerns about foreign influence, focusing on investments in World Liberty Financial’s $WLFI token.

Lawmakers highlight a reported $75 million investment by crypto figure Justin Sun while he faced regulatory scrutiny, and a separate $100 million purchase by an entity called Aqua 1 Foundation, which investigators say lacks clear corporate records.

The fund’s leadership is also alleged to include figures tied to legal and geopolitical controversies.

The post Eric Trump-Linked American Bitcoin Stock Crashes 40% as Lockup Ends appeared first on Cryptonews.

Canaan expands green Bitcoin mining with renewable energy, AI, and tokenization

2 December 2025 at 04:01
  • The companies aim to improve grid stability by matching clean-power output with mining demand.
  • They will tokenize energy generation, carbon savings, and mining yields onchain.
  • The platform is designed to support securitisation of green-power assets.

Canaan is pushing deeper into sustainable Bitcoin mining with a new strategy that blends clean energy, artificial intelligence, and onchain tokenization.

The mining and hardware company has teamed up with SynVista Energy to develop a platform that adapts mining activity to renewable-power availability.

The plan comes as the crypto industry faces ongoing scrutiny over energy use and increasing pressure to rely on greener sources.

By combining smart energy scheduling with digital tracking of renewable assets, Canaan aims to show how mining can integrate more efficiently with modern power systems while supporting the wider shift toward low-carbon infrastructure.

Canaan turns to adaptive renewable energy mining

Canaan and SynVista Energy are developing a mining rig designed to match energy consumption with renewable-power supply.

The system uses an AI-driven scheduling engine that adjusts hash-rate demand based on real-time fluctuations in clean-energy production.

The companies say this approach is intended to maximise the use of available green power without adding stress to electricity grids already dealing with volatility from high renewable penetration.

The pair believes the platform could move renewable-powered Bitcoin mining from small isolated pilots to replicable engineering solutions.

The focus is on creating a structure that can fit regulatory standards while also remaining commercially viable for operators navigating the challenges of intermittent energy generation.

Mining industry seeks stability as power demand grows

Bitcoin mining continues to attract attention for its electricity footprint, with some estimates comparing consumption levels to those of mid-sized nations such as Poland or Thailand.

At the same time, industry groups argue that mining can complement grid balancing efforts, especially as AI data centres increase pressure on existing networks.

Canaan’s project builds on this narrative by targeting ways to turn surplus or stranded energy into productive computing power.

The company highlighted that fast-changing renewable output often leads to curtailment, where clean energy goes unused.

Its adaptive system aims to convert these excess electrons into a mining activity that can respond to grid conditions.

Tokenization of RWA links energy generation with onchain data

Alongside the hardware collaboration, Canaan and SynVista Energy will tokenize generation output, carbon savings, and mining yields on-chain.

The aim is to create a verifiable data layer that supports digital tracking of renewable generation and the securitisation of real-world assets such as green-power plants.

The companies expect that this on-chain framework will eventually allow tokenization of cash flows from energy production and carbon credits.

This would improve price transparency and liquidity for green assets while supporting the broader integration of digital tools into the energy-transition economy.

Industry data underscores the push toward cleaner mining.

The Cambridge Bitcoin Electricity Consumption Index estimates that Bitcoin accounts for about 0.8% of global electricity use.

The post Canaan expands green Bitcoin mining with renewable energy, AI, and tokenization appeared first on CoinJournal.

Australia’s New Asbestos Scare In Schools

By: Lewin Day
1 December 2025 at 13:00

Asbestos is a nasty old mineral. It’s known for releasing fine, microscopic fibers that can lodge in the body’s tissues and cause deadly disease over a period of decades. Originally prized for its fire resistance and insulating properties, it was widely used in all sorts of building materials. Years after the dangers became clear, many countries eventually banned its use, with strict rules around disposal to protect the public from the risk it poses to health.

Australia is one of the stricter countries when it comes to asbestos, taking great pains to limit its use and its entry into the country. This made it all the more surprising when it became apparent that schools across the nation had been contaminated with loose asbestos material. The culprit was something altogether unexpected, too—in the form of tiny little tubes of colored sand. Authorities have rushed to shut down schools as the media asked the obvious question—how could this be allowed to happen?

Hiding In Plain Sight

Australia takes asbestos very seriously. Typically, asbestos disposal is supposed to occur according to very specific rules. Most state laws generally require that the material must be collected by qualified individuals except in minor cases, and that it must be bagged in multiple layers of plastic prior to disposal to avoid release of dangerous fibers into the environment. The use, sale, and import of asbestos has been outright banned since 2003, and border officials enforce strict checks on any imports deemed a high risk to potentially contain the material.

Colored sand is a popular artistic medium, used regularly by children in schools and households across Australia. Via: ProductSafety.gov.au

Thus, by and large, you would expect that any item you bought in an Australian retailer would be free of asbestos. That seemed to be true, until a recent chance discovery. A laboratory running tests on some new equipment happened to accidentally find asbestos contamination in a sample of colored sand—a product typically marketed for artistic use by children. The manager of the lab happened to mention the finding in a podcast, with the matter eventually reaching New Zealand authorities who then raised the alarm with their Australian counterparts. This led to a investigation by the Australian Competition and Consumer Commission (ACCC), which instituted a national safety recall in short order.

The response from there was swift. At least 450 schools instituted temporary shutdowns due to the presence or suspected presence of the offending material. Some began cleanup efforts in earnest, hiring professional asbestos removalists to deal with the colored sand. In many cases, the sand wasn’t just in sealed packaging—it had been used in countless student artworks or spilled in carpeted classrooms. Meanwhile, parents feared the worst after finding the offending products in their own homes. Cleanup efforts in many schools are ongoing, due in part to the massive spike in demand for the limited asbestos removal services available across the country. Authorities in various states have issued guidelines on how to handle cleanup and proper disposal of any such material found in the workplace.

Over 87 retailers have been involved in a voluntary recall that has seen a wide range of colored sand products pulled from shelves.

At this stage, it’s unclear how asbestos came to contaminate colored sand products sold across the country, though links have been found to a quarry in China. It’s believed that the products in question have been imported into Australia since 2020, but have never faced any testing regarding asbestos content. Different batches have tested positive for both tremolite and chrysotile asbestos, both of which present health risks to the public. However, authorities have thus far stated the health risks of the colored sand are low. “The danger from asbestos comes when there are very, very fine fibres that are released and inhaled by humans,” stated ACCC deputy chair, Catriona Lowe. “We understand from expert advice that the risk of that in relation to these products is low because the asbestos is in effect naturally occurring and hasn’t been ground down as such to release those fibres.”

Investigations are ongoing as to how asbestos-containing material was distributed across the country for years, and often used by children who might inhale or ingest the material during use. The health concerns are obvious, even if the stated risks are low. The obvious reaction is to state that the material should have been tested when first imported, but such a policy would have a lot of caveats. It’s simply not possible to test every item that enters the country for every possible contaminant. At the same time, one could argue that a mined sand product is more likely to contain asbestos than a box of Hot Wheels cars or a crate of Belgian chocolates. A measured guess would say this event will be ruled out as a freak occurrence, with authorities perhaps stepping up random spot checks on these products to try and limit the damage if similar contamination occurs again in future.

Featured image and other sand product images from the Australian government’s recall page.

Bitcoin Sentiment Sparks CZ Comment: Sell Greed, Buy Fear

30 November 2025 at 13:00

Binance founder Changpeng Zhao’s blunt reminder about buying low and selling high landed at a tense time for crypto traders. His line — “Sell when there is maximum greed, and buy when there is maximum fear” — was posted as markets showed fresh signs of strain and debate over whether now is a buying moment or another stall.

CZ’s Message Meets Extreme Fear

According to the Crypto Fear & Greed Index, sentiment recently climbed to 20, moving out of “Extreme Fear” after a streak of low readings. The index had hit a yearly low of 10 on Nov. 22 and the market had spent eighteen days stuck in extreme fear.

Unpopular opinion, but it’s better to sell when there is maximum greed, and buy when there is maximum fear. 🤷‍♂️

— CZ 🔶 BNB (@cz_binance) November 29, 2025

Analysts called that stretch unusually deep. Matthew Hyland described it as the “most extreme fear level” of the cycle, and other traders argued that calling it extreme was being generous.

Bitcoin Holds But Mood Is Fragile

Based on reports, Bitcoin was trading at $91,780, a far cry from the all-time high of $126,000 reached in October. Prices remain up from 2024 lows of just over $40,000, yet confidence is thin.

Santiment tracked online chatter and found talks focused more on volatility and institutional moves than on excitement. The Altcoin Season Index sat at 22/100, a clear sign that traders are favoring safety.

Market Psychology Overrules Charts

Traders reacted fast to CZ’s post. One user said emotion often beats logic in real trading. Another noted that markets tend to move on psychology well before technical signals line up. That gap between what traders know and what they do was on full display: many agree with the rule, and few actually follow it when prices slip.

History Offers A Hint, Not A Guarantee

Reports have disclosed that some analysts see a pattern. Nicola Duke pointed out that in the last five years, every time the market reached extreme fear, Bitcoin found a local bottom within weeks.

While past stretches can offer context, they do not promise the same result now. Bitwise researcher André Dragosch warned that current pricing reflects a recession-level global growth outlook — the most bearish setting since 2020 and 2022 — which raises real risk for buyers.

Bitcoin Coinbase Premium Turns Positive After 29 Days

Meanwhile, the Bitcoin (BTC) Coinbase premium finally flipped back into positive after nearly a month of staying in the red.

Data from Coinglass on the 30th showed the premium at 0.0255%, marking the first positive reading in 29 days. For almost a month, the negative premium had suggested that selling pressure dominated the US market, with traders and investors leaning toward caution.

The Coinbase premium tracks how Bitcoin’s price on Coinbase, a major US exchange, compares to the global average. When it’s positive, it means the US price is above the worldwide average.

This is often seen as a sign that buying is picking up in the US, more institutions are getting involved, dollar liquidity is recovering, and overall investor confidence is improving.

Featured image from Gemini, chart from TradingView

Turkmenistan To Open Doors To Crypto Operations In 2026

30 November 2025 at 00:00

Digital asset adoption continues to grow after Turkmenistan announced plans to legally accommodate cryptocurrency operations from 2026. Following this move, the Central Asian nation joins the expanding list of countries opting for regulation in the crypto industry against an outright ban.

Turkmenistan Explores Crypto Amid Economy Diversification 

On Friday, Reuters reported that President Serdar Berdymukhamedov of Turkmenistan signed a new law that will permit registration of crypto exchanges and crypto mining companies from January 1, 2026. 

Notably, this development appears to represent part of the state government’s recent efforts to diversify its economy beyond gas exports, following Turkmenistan’s status as the nation with fourth fourth-largest gas reserves. Reuters also confirmed the government’s motive behind its new regulation, stating an intent to drive investment and speed up digitalization. 

While there are no official data on the level of crypto ownership in Turkmenistan, citizens’ ability to purchase digital assets using credit/debit cards, as well as the existence of Bitcoin ATMs, indicate significant traction requiring legalization. In particular, local Kyrgyzstan media states the new regulations signed by President Berdymukhamedov assert the legal status of cryptocurrencies as civil assets but with no economic power to serve as currency or means of payment. 

Furthermore, all licensed crypto exchanges are mandated to ensure the protection of users’ data and deposits. Meanwhile, mining operations can be performed by both individuals and local businesses following approval and registration with the recognized state authority. Other aspects of Turkmenistan’s crypto regime cover specific definitions of terms, and operations center around offering, transfer, issuance, and storage.

Crypto Adoption Surges In Central Asia

Beyond Turkmenistan, other nations in Central Asia, including Kazakhstan and Uzbekistan, are also ramping up crypto regulatory efforts to create an enabling environment for digital assets adoption. Notably, Uzbekistan has completed legal preparations to formally adopt stablecoins for payments in 2026, while also permitting the trading of tokenized stocks on licensed exchanges. 

Meanwhile, Bitcoinist reported that Kazakhstan has recently allocated $500 million – $1 billion for a national reserve fund with a potential launch slated for 2026. In addition, the former soviet state also introduced a national stablecoin, KZTx, in collaboration with the world’s biggest exchange, Binance. 

Taken together, these crypto-friendly moves show that Central Asian nations are doubling down on blockchain and digital assets as an emerging pillar of the global financial sector. 

According to data from CoinMarketCap, the total crypto market cap is now valued at $3.05 trillion following a modest rebound in the last week after an extended correction that began in early October. 

Turkmenistan

Bitcoin Mining Blaze: Fire Strikes Greenidge Site Running NYDIG Hardware

29 November 2025 at 22:00

Fire knocked out power and halted bitcoin mining at Greenidge’s Dresden, New York site after an electrical failure sparked a blaze last week.

According to reports, the incident forced the plant to shut down its generation and data center operations, temporarily stopping both company-run rigs and machines operating for clients.

Electrical Switchgear Failure Reported

Based on reports, an electrical switchgear malfunction on November 23, 2025 started the fire and triggered automatic safety systems that de-energized the facility.

The Dresden plant, which has about 106 megawatts of generation capacity, was taken offline immediately to prevent further damage.

Company filings and local updates said none of the hosted mining machines — including those co-located for NYDIG — suffered material damage during the event.

⚠ A fire just halted operations at Greenidge Generation’s #Bitcoin mining site — a major facility co-hosting rigs for NYDIG. No hardware lost, but the incident reveals a hidden risk: physical infrastructure fragility in the mining stack. #BTC #MiningOps #CryptoInfra #NYBitcoin pic.twitter.com/35sMu2x3le

— ₿itBlitz (@BitBlitz) November 28, 2025

Emergency crews responded and the fire was contained, but the outage left the site idle while technicians inspected equipment and repaired infrastructure.

Impact On Mining Operations And Clients

Reports have disclosed that the shutdown means lost hashing time for every miner at the site. For co-hosting customers like NYDIG, downtime translates to missed block rewards until the machines can be safely powered up again.

Mining firms typically earn revenue only while rigs run, so even a short stoppage can cut into weekly receipts. Industry observers noted that the Dresden plant is a major part of Greenidge’s US footprint, so the pause affects a sizable share of the company’s output.

Bitcoin Mining Economics Under Pressure

Mining profitability is under strain across the board as network difficulty climbs and competition increases. Based on recent market data, margins are tighter than in prior cycles, making every hour of offline time more costly.

Investigation And Recovery Timetable

According to the company, crews are working to restore service and Greenidge expects a return to normal operations within a few weeks.

That timetable is provisional and tied to the results of inspections and replacement of damaged switchgear. Regulators and insurers will likely review the incident, and an internal investigation is expected to clarify the cause of the failure and whether any maintenance gaps contributed.

Stakeholders will watch closely for confirmed repair schedules and any disclosures about lost bitcoin production or costs tied to the outage. Co-hosts will also monitor whether the incident prompts changes to safety practices or contract terms for hosted rigs.

Featured image from FMC Fire, chart from TradingView

Fire at Greenidge Bitcoin Mine in New York Forces Temporary Shutdown

By: Amin Ayan
29 November 2025 at 04:47

Greenidge Generation Holdings, a major US Bitcoin mining firm, disclosed that a fire broke out at its Dresden, New York facility on Sunday, forcing a temporary shutdown of operations at one of its core sites.

Key Takeaways:

  • Greenidge Generation Holdings shut its New York mine after an electrical switchgear failure caused a fire.
  • The 106-MW site, co-hosting gear with NYDIG, is a critical asset.
  • The outage hits as hashprice sits near ~$39 PH/s, below many miners’ breakeven.

In a filing with the Securities and Exchange Commission, the company said the incident was triggered by an “electrical switchgear failure,” which led management to de-energize the entire plant as a safety precaution.

The site, which hosts company-owned machines as well as equipment operated by NYDIG, has remained offline since the incident.

Greenidge Says Dresden Bitcoin Mine to Reopen in Weeks

Greenidge said the fire did not damage its mining rigs and added that it expects to restore full operations within “a few weeks,” although no timeline has been provided.

The Dresden facility produces roughly 106 megawatts of natural-gas power used directly for Bitcoin mining, making it one of the company’s most important energy assets.

The interruption comes at a difficult moment for the mining sector, which continues to grapple with falling profit margins, volatile Bitcoin prices, and rising energy costs.

Hashpricem a key indicator of miner profitability, plunged in November after Bitcoin briefly dipped toward $80,000, pushing revenues per unit of computing power below breakeven levels for many operators.

Data from Hashrate Index shows hashprice recently recovering to around $39 per petahash per second (PH/s), still below the level most miners consider sustainable for long-term operations.

$GREE Greenidge's Dresden Plant Hit by Electrical Fire, Forcing Shutdown of #Bitcoin Minehttps://t.co/rSDWNKi3vT

— TheMinerMag (@TheMinerMag_) November 28, 2025

The Greenidge fire also follows a wave of stress across the sector.

Tether recently confirmed it had shut down its Bitcoin mining operations in Uruguay, citing soaring electricity prices and an unresolved billing dispute with a state-owned utility.

At the same time, US authorities have reportedly opened an investigation into Bitmain over national security concerns linked to its ASIC manufacturing business.

The Chinese company accounts for the majority of the global mining equipment market, and any restrictions could further disrupt operations for US-based miners.

CleanSpark Revenue Surges 102%

As reported, CleanSpark delivered what executives described as a “transformative” fiscal year, reporting $766.3 million in revenue for the period ending September 30, 2025, a 102% jump from the previous year.

The company’s results show a dramatic reversal from 2024, underscoring how its expanded strategy is reshaping both operations and financial performance.

Net income came in at $364.5 million, compared with a $145.8 million loss last year. Adjusted EBITDA surged to $823.4 million, up from $245.8 million a year earlier.

The strong fiscal results follow CleanSpark’s $1.15 billion zero-coupon convertible notes offering, which brought $1.13 billion in net proceeds and allowed the firm to repurchase 30.6 million shares for roughly $460 million.

As of September 30, CleanSpark held $1.2 billion in Bitcoin, $43 million in cash, and $950.1 million in mining assets, with total assets reaching $3.2 billion and stockholders’ equity at $2.2 billion.

The post Fire at Greenidge Bitcoin Mine in New York Forces Temporary Shutdown appeared first on Cryptonews.

DMND Pool Now Open To All Miners, With SOC 2 Compliance and Stratum V2 Support

By: Shinobi
28 November 2025 at 12:40

Bitcoin Magazine

DMND Pool Now Open To All Miners, With SOC 2 Compliance and Stratum V2 Support

DMND, a new mining pool built around Stratum V2 which began taking applicants for a soft private launch earlier this year, is now open for all miners to create accounts. Miners can register here to begin onboarding. 

DMND’s full public launch comes after a successful SOC 2 Type 2 audit, proving compliance with security policies necessary for large scale miners. 

“With our SOC 2 Type 2 compliance and streamlined business verification practices, the DMND pool is built for operators who value security, transparency, and professional-grade standards,” said DMND Co-Founder & CEO, Alejandro De La Torre. “Combined with miner-controlled block construction, we’re enabling miners to reclaim meaningful control over the network.”

Stratum V2 support takes a significant step on the road to further decentralization of different functionality in the mining industry, namely block template construction, the process of selecting transactions to include in the block being mined. 

Stratum V2 provides a mechanism to defend Bitcoin’s censorship resistance, allowing individual miners to produce their own block templates while mining with supporting pools (as well as sourcing templates from any third party provider they choose who is operating Stratum V2). Additionally, Stratum V2’s end-to-end encryption protects miners from hashrate hijacking attacks which can silently siphon a miner’s revenue. 

DMND’s public launch provides miners with another step forward for Stratum V2 on the network, and for progress towards improving the mining ecosystem’s level of decentralization. 

This post DMND Pool Now Open To All Miners, With SOC 2 Compliance and Stratum V2 Support first appeared on Bitcoin Magazine and is written by Shinobi.

The AI in oil: GS Caltex empowers LOB teams to build agents

28 November 2025 at 05:00

Caught between change and stability, many companies find themselves hesitating on how to square the two. The pace of change is increasing in the age of AI, and the weight of making inspired choices has only become more critical. GS Caltex, one of Korea’s leading refining companies, faced the same dilemma and recently embraced a new guiding principle of good risk taking — a phrase reportedly often heard in GS Caltex meetings, and initially proposed by company CEO Hur Sae-hong. “Once the word ‘good’ was added to ‘risk-taking,’ a culture began to spread where people are willing to attempt any challenge,” says CIO, CDO, and DX Center head Lee Eunjoo.

Amid growing uncertainties around crude oil prices and product demand, intensifying competition over production scale, and demographic decline, the value of good risk taking is pushing the company to pursue new opportunities and innovation. And a changing mindset is reshaping the organization from within.

The AI platform changing the enterprise

Even without any top-down mandate, it’s common at GS Caltex to see not just IT but LOB teams in production, sales, finance, legal, PR, and HR building and using AI agents in their day-to-day work. Finance, for instance, recently built an FAQ agent and asked Lee’s team to review it. “It’s incredibly rewarding to see employees actively using the new technologies provided by the DX Center.”

So far, they’ve created more than 50 agents, including ones that support pre-job safety briefings for partner company staff, review crude oil purchase contracts, automate a complex medical expense reimbursement process, and automatically classify and analyze gas station customer feedback.

All of these agents were developed on AiU, the company’s in-house gen AI service platform launched in June this year, which combines AI with yu, the Korean word for oil, and is also a play on “AI for you,” reflecting its role as AI tailored to each employee.

Lee says AiU is the clearest expression of the company’s approach to transformation. “It’s not just about DX anymore but DAX, combining digital with AI transformation,” she says. “From our production sites to headquarters, we’re rolling out initiatives that let every employee experience it all side by side. That’s how we’re reshaping ourselves into an energy company that uses AI broadly and with confidence.”

A secret to its rapid success is because no one feels pressured to build a perfect agent. “People are much more willing to try things and experiment,” says Lee. From the DX Center’s standpoint, that mindset has made it possible to support a growing number of AI projects with a relatively small team. “Plus, the AiU playground lets employees build and test agents themselves, which makes AI feel far more approachable and familiar in their day-to-day work,” she adds.

An AI agent platform might sound like something only developers can use, but AiU is designed so non-experts can easily work with it. The experience isn’t very different from ChatGPT as GS Caltex deliberately embedded AiU into the side of core business systems that employees check every day, so they’d naturally encounter and use AI in their daily workflows. Even if they don’t build agents themselves, employees can still ask the AI questions using internal company data, and search across both external information and internal systems at once.

It’s only been a few months since AiU officially launched, and around 85% of employees are now regular users, and nearly the entire workforce has tried it at least once. “Most of our production and technical staff work in a mobile-only environment without desktops,” Lee says. “The fact 95% of them have already used AiU shows just how fast the platform is spreading.”

Sowing seeds of success

AiU drew strong interest from employees even during its pilot stage. The DX Center began discussing AI service adoption in 2023, and in 2024, the team built a pilot service on AWS in just a few days. Although it was an early version with only basic UI, more than 300 employees participated and shared the features and requirements they needed. This underscored just how many people were eager to bring AI into their work.

Through this pilot, the DX Center was able to clearly identify what kinds of problems employees wanted to solve with AI, and which capabilities they needed most. The team then considered whether to adopt an external solution or develop one in house. In the end, they chose to build on MISO, the AI transformation platform developed by the GS Group, and add GS Caltex–specific capabilities on top. The entire development took about six months.

In designing AiU’s technical architecture, Lee focused most heavily on minimizing dependence on any single LLM. The platform supports multiple models that employees can choose from, including OpenAI and Anthropic.

“AI moves incredibly fast, so we built the system in a way that lets us easily plug in better technologies as they come along,” she says. “The AI layer will keep changing, but the internal data and applications underneath it will remain our core assets, which is why we’ve focused on strengthening the underlying infrastructure. That’s where our DAX philosophy — advancing digital and AI transformation together — comes into play.”

But AiU has done more than speed up AI adoption. It’s also put new life into existing systems. GS Caltex already had an internal enterprise search platform, but over time, its accuracy and usability declined, and usage dropped. AiU stepped in to augment that system with AI. Employees can now search M365 documents, work rules, and HR information in one go, and have the results summarized for them by the AI.

“All we really did was layer AI on top of what we already had to make it a little easier to use,” Lee says. “But in the end, that AI layer ended up reviving a service that was close to being forgotten.”

The growth engines behind the projects

Rolling out and scaling new IT technologies like AI across an entire organization isn’t easy. It’s common to see transformation stall at the slogan stage, held back by resistance to new tools or the simple reality that people are too busy to change how they work.

GS Caltex, however, has avoided treating DX as a one-off initiative. Instead, the company has built three pillars to sustain company-wide change over the long term: culture, performance management, and education.

The first step was to build a bottom-up DX culture. Traditional IT projects often begin with large-scale planning, writing RFPs, and selecting external vendors — a process so long that customer needs frequently change before anything goes live.

GS Caltex chose a different path: a fast-execution model focused on solving customer needs in real time. Even a small app or a single dashboard is recognized as DX, and each attempt is treated as valuable. One example is an app that automatically collects and organizes external news, built by a frontline business team not the IT department.

As these small wins accumulated, a voluntary culture of digital innovation took root. Since the establishment of the DX Center in 2019, GS Caltex has carried out hundreds of projects this way.

Behind this transformation is a high level of organizational acceptance. No matter how well something is built, if colleagues don’t respond favorably, it doesn’t advance. That hasn’t been a problem at GS Caltex, though, largely due to the embedded good risk taking philosophy.

“DX inevitably involves a certain level of risk,” says Lee. “For good risk taking to really work, you need to understand the level of risk and have leaders actively backing it. We have that kind of culture in place.”

After joining GS Caltex, Lee learned a new approach to positive communication. Rather than focusing on fixing problems, the company emphasizes recognizing small achievements, celebrating them together, and then building on that foundation to find areas to improve. “I’ve personally experienced the value of a positive feedback culture,” she says. “A culture that openly recognizes achievements has become a natural driving force encouraging frontline employees to participate in DX.”

This philosophy has been embedded into reward and performance management systems, including a performance innovation committee, which selects outstanding DX projects initiated by business teams and presents awards. And presentations are delivered not by team leaders but by the frontline employees who actually led the work. The monthly selected cases are then published on the company’s internal website, making sure their contributions are visibly acknowledged.

These practices give other employees confidence to do the same, and thus fuels wider voluntary participation. The committee also actively shares failure cases. By openly discussing what was attempted in each project and what could be improved, the company aims to turn failure into an opportunity for learning.

Lee says that GS Caltex only recognizes outcomes that can be proven in financial terms. Common IT metrics such as conversion rates or click-through rates, often used as proxy indicators, aren’t treated as final measures of success. Instead, the company tracks more meaningful indicators such as productivity gains that drive innovation, cost reductions, and improvements in customer satisfaction. These results are all centrally managed through the company-wide performance management system.

But it’s education that the DX Center prioritizes most. Rather than relying on a small group of experts, GS Caltex has chosen a strategy of cultivating hundreds of frontline DX specialists and sees strong results. The more business-side DX experts there are who can use digital tools to directly solve on-site problems, the faster digital adoption spreads. So once technology takes hold in the field, the DX organization provides the necessary development environment and additional support.

This training initiative, called the digital academy, runs as full-day programs ranging from a single day up to three months. It focuses on reskilling and deepening professional expertise to develop DX talent. The curriculum includes low-code developer tracks and in-house DX expert courses, enabling frontline employees to learn technologies themselves and apply them directly to their work. Topics include RPA, Tableau, Python, AI, and data science. Most notably in recent months, every executive has gone through gen AI training themselves, setting the tone from the top and actively championing a culture of continuous learning.

From IT support to proactive DX engine

Two years into her tenure, Lee is now reimagining how DX governance works. Historically, the DX organization operated in reactive mode, fielding requests from business units as they came in. Now, it’s flipping the script. That means taking the lead on company-wide DX priorities, vetting technologies for maturity and feasibility, and consolidating redundant projects.

One clear target is to streamline the system portfolio. Lee also plans to retire underutilized systems and those where operating costs outweigh the value they deliver, cutting waste while boosting efficiency.

At the same time, GS Caltex is leaning into global outsourcing. The company is building a distributed operations model, partnering with offshore teams not just for IT infrastructure, but for internal systems spanning HR, procurement, legal, and beyond. The savings are being funneled back into critical areas, like bolstering disaster recovery capabilities to strengthen business continuity, and reinforcing the DX foundation to deliver more reliable support across the organization.

AI, of course, remains a top priority, and internal demand is surging. “Employees, especially senior leaders, want services that pull together even more data,” Lee says. “Down the road, I’d like AiU to evolve to the point where you can ask what’s been happening with a particular customer lately, and instantly get a unified view of what division A is working on, what division B needs, and live customer inquiries all in one snapshot.”

Bitcoin-miner Bitmain Faces Federal Investigation Over National Security Issues: Report

21 November 2025 at 14:10

Bitcoin Magazine

Bitcoin-miner Bitmain Faces Federal Investigation Over National Security Issues: Report

Bitmain Technologies Ltd., the Chinese manufacturer behind most of the world’s Bitcoin mining machines, has been the focus of a federal investigation assessing whether its products pose national security risks, according to Bloomberg reporting

The inquiry, dubbed “Operation Red Sunset,” led by the Department of Homeland Security, reportedly examined whether the company’s machines could be remotely manipulated for espionage or sabotage of critical US infrastructure. 

Bitmain denies these capabilities, but investigators have reportedly tested its equipment at ports and dissected chips and code to assess potential threats.

The company’s hardware has long attracted scrutiny. 

A 2017 Bitcoin Magazine report suggested Antminer devices contained code allowing remote shutdown, which Bitmain said was a theft-prevention feature later patched. Similar concerns resurfaced in 2019.

In May 2024, then-President Joe Biden blocked a crypto mining facility near a Wyoming nuclear missile base, citing national security risks linked to foreign-sourced mining equipment. The Committee on Foreign Investment in the United States (CFIUS) said the presence of foreign mining devices near sensitive facilities could facilitate surveillance and espionage.

Bitmain has repeatedly stated it complies with US law and has no ties to the Chinese government. It also denied awareness of “Operation Red Sunset” or any import-related investigations.

The Commerce Department blacklisted Bitmain’s AI affiliate, Sophgo Technologies, in January 2025 over alleged dealings with Huawei, further raising concerns about the company’s ties to Beijing.

Bitmain ties with the Trump family

The investigation intersects with the Trump family’s crypto ventures. Eric and Donald Trump Jr. invested in American Bitcoin, a company that recently acquired 16,000 Bitmain devices for $314 million, paid in Bitcoin, per Bloomberg.

The startup plans to operate 76,000 mining machines across the US and Canada. American Bitcoin insists its operations follow strict security standards and that Bitmain hardware poses no credible risk to the US power grid or national security.

The issue has drawn bipartisan attention. A July 2025 Senate Intelligence Committee report highlighted “disturbing vulnerabilities” in Bitmain devices and warned that facilities using them near power plants or military installations present “an unacceptable risk.” 

GOP Representative Zach Nunn also requested CFIUS review specialized chips in foreign mining hardware to assess broader policy implications.

As the US continues to monitor foreign crypto technology, the case underscores the tension between rapidly expanding digital asset industries and national security concerns, especially when high-profile political figures are involved.

This post Bitcoin-miner Bitmain Faces Federal Investigation Over National Security Issues: Report first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Malaysia cracks down on crypto power theft as bitcoin mining drains the grid

19 November 2025 at 04:19
  • Authorities identified 13,827 premises involved in illicit power consumption for mining.
  • TNB seized bitcoin mining machines during joint inspections.
  • Smart meters are being installed to detect suspicious energy use in real time.

Malaysia is intensifying its response to rising energy losses linked to cryptocurrency mining, as new figures show widespread electricity theft across the country.

The national utility, Tenaga Nasional Bhd, has reported more than $1 billion in losses from illegal power use between 2020 and August this year.

The scale of the theft has pushed authorities to strengthen monitoring tools, expand inspections, and build new data systems as bitcoin mining operations continue to strain the national grid.

Officials now view the situation as an urgent energy security issue that requires consistent oversight.

Rising cases of electricity theft

The energy and water transformation ministry said 13,827 premises were found using electricity illegally for cryptocurrency mining during the period, according to a written parliamentary reply dated Tuesday.

Malaysia does not have specific rules governing crypto mining, but the activity becomes illegal once meters are tampered with or bypassed.

Such actions fall under offences detailed in the Electricity Supply Act.

The ministry confirmed that these illegal activities caused financial losses of 4.6 billion ringgit, equivalent to about $1.11 billion.

Mining setups require continuous and intense power consumption, which is often concealed to avoid detection.

This has allowed unauthorised operations to drain the grid at a rapid pace.

Coordinated enforcement operations

TNB has been conducting joint inspections with multiple enforcement bodies to respond to the rising cases.

The police, the communications regulator, the anti-graft agency, and other authorities have taken part in these operations.

Their coordinated actions have resulted in the seizure of bitcoin mining machines at many of the identified premises.

With illegal mining activities still increasing, TNB has shifted towards systems that support preventive oversight.

The utility has built a database holding complete records of owners and tenants of premises suspected of involvement in electricity theft related to bitcoin mining.

The ministry said the database helps identify patterns, profile high-risk locations, and support future inspections across different states.

Technology driven monitoring measures

Malaysia is also relying on real-time energy monitoring to reduce losses.

Smart meters are being installed at electricity distribution substations to track consumption patterns and identify manipulation more quickly.

These meters help detect sudden spikes or irregular behaviour, which often indicate hidden mining operations.

Real-time alerts allow TNB to respond faster before theft spreads or expands.

The country’s competitive electricity prices make it attractive for mining operators, which increases pressure on the grid and complicates enforcement.

Since mining is energy-intensive and not directly regulated, authorities are using existing energy laws supported by surveillance technologies to curb illegal consumption.

Strengthening oversight across the grid

Malaysia has chosen to enhance enforcement rather than introduce dedicated mining regulations.

Authorities are relying on interagency cooperation, improved inspection strategies, and expanded data systems to protect the utility network.

TNB continues to refine its approach, as illegal mining operations often shift locations after raids, requiring constant monitoring and updated intelligence.

The post Malaysia cracks down on crypto power theft as bitcoin mining drains the grid appeared first on CoinJournal.

Trump-backed American Bitcoin Corp Expands Holdings to 4,004 BTC, Boosts Satoshis Per Share Metric

7 November 2025 at 11:13

Bitcoin Magazine

Trump-backed American Bitcoin Corp Expands Holdings to 4,004 BTC, Boosts Satoshis Per Share Metric

American Bitcoin Corp. (Nasdaq: ABTC), a Bitcoin accumulation and infrastructure company, announced it has added 139 Bitcoin to its reserves since October 24, bringing its total holdings to 4,004 BTC as of November 5, 2025.

The company said the Bitcoin was acquired through a combination of mining operations and strategic market purchases.

According to a company release Friday, American Bitcoin’s “Satoshis Per Share” (SPS) — a transparency metric showing how much Bitcoin backs each share of stock — rose 3.35% over the past 12 days to 432 satoshis per share. 

The firm said this figure includes Bitcoin held in custody and coins pledged under a miner purchase agreement with Bitmain.

“We continue to expand our Bitcoin holdings rapidly and cost-effectively through a dual strategy that integrates scaled Bitcoin mining operations with disciplined at-market purchases,” said Eric Trump, co-founder and chief strategy officer of American Bitcoin.

The Miami-based company describes its goal as building “America’s Bitcoin infrastructure backbone,” combining industrial-scale mining with balance-sheet accumulation. 

American Bitcoin said it plans to continue providing regular SPS updates as part of its commitment to transparency and shareholder alignment with Bitcoin’s long-term growth.

JUST IN: 🇺🇸 Trump family-backed #Bitcoin mining company American Bitcoin acquires 139 BTC.

They now hold 4,004 BTC 🚀 pic.twitter.com/jKxUzzMsY2

— Bitcoin Magazine (@BitcoinMagazine) November 7, 2025

American Bitcoin’s Nasdaq debut and the Gryphon merger

American Bitcoin Corp. (Nasdaq: ABTC) emerged on the public markets in September 2025. The company was created through a merger between Gryphon Digital Mining, Inc. and American Bitcoin Corp., a Trump family–backed subsidiary of Hut 8 Corp. (Nasdaq | TSX: HUT). 

The all-stock merger, finalized earlier this year, combined Gryphon’s mining technology and operational expertise with American Bitcoin’s capital resources and reserve-focused strategy. 

Under the terms of the deal, Gryphon shareholders retained roughly 2% of the new entity, while American Bitcoin stakeholders — including Hut 8, which contributed most of its mining ASICs — held approximately 98%.

Co-founded by Eric Trump and Donald Trump Jr., American Bitcoin positions itself as a patriotic Bitcoin accumulation vehicle aligned with what the Trump family describes as “American values of freedom, transparency, and independence.” 

The company’s dual accumulation model aims to maintain a cost advantage by mining Bitcoin below market price while retaining the flexibility to add to reserves through spot purchases. 

Its partnership with Hut 8 also provides access to large-scale colocation infrastructure without requiring heavy capital expenditure on proprietary facilities — a structure meant to maximize efficiency, scale hash rate, and grow the company’s reserve base over time.

This post Trump-backed American Bitcoin Corp Expands Holdings to 4,004 BTC, Boosts Satoshis Per Share Metric first appeared on Bitcoin Magazine and is written by Micah Zimmerman.

Understanding Bitcoin Mining Through the Lens of Dutch Disease

5 November 2025 at 00:53

There’s a paradox at the heart of modern economics: sometimes, discovering a valuable resource can make a country poorer. It sounds impossible — how can sudden wealth lead to economic decline? Yet this pattern has repeated across decades and continents, from the Netherlands’ natural gas boom in the 1960s to oil discoveries in numerous developing countries. Economists have a name for this phenomenon: Dutch Disease. Today, as Bitcoin Mining operations establish themselves in regions around the world, attracted by cheap resources. With electricity and favorable regulations, economists are asking an intriguing question: Does cryptocurrency mining share enough characteristics with traditional resource booms to trigger similar economic distortions? Or is this digital industry different enough to avoid the pitfalls that have plagued oil-rich and gas-rich nations?

The Kazakhstan Case Study

In 2021, Kazakhstan became a global Bitcoin mining hub after China’s cryptocurrency ban. Within months, mining operations consumed nearly 8% of the nation’s electricity. The initial windfall — investment, jobs, tax revenue — quickly turned to crisis. By early 2022, the country faced rolling blackouts, surging energy costs for manufacturers, and public protests. The government imposed strict mining limits, but damage to traditional industries was already done.

This pattern has a name: Dutch Disease.

Understanding Dutch Disease

Dutch Disease describes how sudden resource wealth can paradoxically weaken an economy. The term comes from the Netherlands’ experience after discovering North Sea gas in 1959. Despite the windfall, the Dutch economy suffered as the booming gas sector drove up wages and currency values, making traditional manufacturing uncompetitive.

The mechanisms were interconnected: Foreign buyers needed Dutch guilders to purchase gas, strengthening the currency and making Dutch exports expensive. The gas sector bid up wages, forcing manufacturers to raise pay while competing in global markets where they couldn’t pass those costs along. The most talented workers and infrastructure investment flowed to gas extraction rather than diverse economic activities.

When gas prices eventually fell in the 1980s, the Netherlands found itself with a hollowed-out industrial base — wealthier in raw terms but economically weaker. The textile factories had closed. Manufacturing expertise had evaporated. The younger generation possessed skills in gas extraction but limited training in other industries.

This pattern has repeated globally. Nigeria’s oil discovery devastated its agricultural sector. Venezuela’s resource wealth correlates with chronic economic instability. The phenomenon is so familiar that economists call it the “resource curse” — the observation that countries with abundant natural resources often perform worse economically than countries without them.

Bitcoin mining creates similar dynamics. Mining operations are essentially warehouses of specialized computers solving mathematical puzzles to earn bitcoin rewards (currently worth over $200,000 per block) — the catch: massive electricity consumption. A single facility can consume as much power as a small city, creating economic pressures comparable to those of traditional resource booms.

How Mining Crowds Out Other Industries

Dutch Disease operates through four interconnected channels:

  1. Resource Competition: Mining operations consume massive amounts of electricity at preferential rates, leaving less capacity for factories, data centers, and residential users. In constrained power grids, this creates a zero-sum competition in which mining’s profitability directly undermines other industries. Textile manufacturers in El Salvador reported a 40% increase in electricity costs within a year of nearby mining operations — costs that made global competitiveness untenable.
  2. Price Inflation: Mining operators bidding aggressively for electricity, real estate, technical labor, and infrastructure drive up input costs across regional economies. Small and medium enterprises operating on thin margins are particularly vulnerable to these shocks.
  3. Talent Reallocation: High mining wages draw skilled electricians, engineers, and technicians from traditional sectors. Universities report declining enrollment in manufacturing engineering as students pivot toward cryptocurrency specializations — skills that may prove narrow if mining operations relocate or profitability collapses.
  4. Infrastructure Lock-In: Grid capacity, cooling systems, and telecommunications networks optimized for mining rather than diversified development make regions increasingly dependent on a single volatile industry. This specialization makes economic diversification progressively more difficult and expensive.

Where Vulnerability Is Highest

The risk of mining-induced Dutch Disease depends on several structural factors:

Small, undiversified economies face the most significant risk. When mining represents 5–10% of GDP or electricity consumption, it can dominate economic outcomes. El Salvador’s embrace of Bitcoin and Central Asian republics with significant mining operations exemplify this concentration risk.

Subsidized energy creates perverse incentives. When governments provide electricity at a loss, mining operations enjoy artificial profitability that attracts excessive investment, intensifying Dutch Disease dynamics. The disconnect between private returns and social costs ensures mining expands beyond economically efficient levels.

Weak governance limits effective responses. Without robust monitoring, transparent pricing, or enforceable frameworks, governments struggle to course-correct even when distortions become apparent.

Rapid, unplanned growth creates an immediate crisis. When operations scale faster than infrastructure can accommodate, the result is blackouts, equipment damage, and cascading economic disruptions.

Why Bitcoin Mining Differs from Traditional Resource Curses

Several distinctions suggest mining-induced distortions may be more manageable than historical resource curses:

  • Operational Mobility: Unlike oil fields, mining facilities can relocate relatively quickly. When China banned mining in 2021, operators moved to Kazakhstan, the U.S., and elsewhere within months. This mobility creates different dynamics — governments have leverage through regulation and pricing, but also face competition. The threat of exit disciplines both miners and regulators, potentially yielding more efficient outcomes than traditional resource sectors, where geographic necessity reduces flexibility.
  • No Currency Appreciation: Classical Dutch Disease devastated manufacturing due to currency appreciation. Bitcoin mining doesn’t trigger this mechanism — mining revenues are traded globally and typically converted offshore, avoiding the local currency effects that made Dutch products uncompetitive in the 1960s. Export-oriented manufacturing can remain price-competitive if direct resource competition and input costs are managed.
  • Profitability Volatility: Mining economics are extraordinarily sensitive to Bitcoin prices, network difficulty, and energy costs. When Bitcoin fell from $65,000 to under $20,000 in 2022, many operations became unprofitable and shut down rapidly. This boom-bust cycle, while disruptive, prevents the permanent structural transformation characterizing oil-dependent economies. Resources get released back to the broader economy during busts.
  • Repurposable Infrastructure: Mining facilities can be repurposed as regular data centers. Electrical infrastructure serves other industrial uses. Telecommunications upgrades benefit diverse businesses. Unlike exhausted oil fields requiring environmental cleanup, mining infrastructure can support cloud computing, AI research, or other digital economy activities — creating potential for positive spillovers.

Managing the Risk: Three Approaches

Bitcoin stakeholders and host regions should consider three strategies to capture benefits while mitigating Dutch Disease risks:

  1. Dynamic Energy Pricing: Moving from fixed, subsidized rates toward pricing that reflects actual resource scarcity and opportunity costs. Iceland and Nordic countries have implemented time-of-use pricing and interruptible contracts that allow mining during off-peak periods while preserving capacity for critical uses during demand surges. Transparent, rule-based pricing formulas that adjust for baseline generation costs, grid congestion during peak periods, and environmental externalities let mining flourish when economically appropriate while automatically constraining it during resource competition. The challenge is political — subsidized electricity often exists for good reasons, including supporting industrial development and helping low-income residents. But allowing below-cost electricity to attract mining operations that may harm more than help represents a false economy. Different jurisdictions are finding different balances: some embrace market-based pricing, others maintain subsidies while restricting mining access, and some ban mining outright.
  2. Concentration Limits: Formal constraints on mining’s share of regional electricity and economic activity can prevent dominance. Norway has experimented with caps limiting mining to specific percentages of regional power capacity. The logic is straightforward: if mining represents 10–15% of electricity use, it’s significant but doesn’t dominate. If it reaches 40–50%, Dutch Disease risks become severe. These caps create certainty for all stakeholders. Miners understand expansion parameters. Other industries know they won’t be entirely squeezed out. Grid operators can plan with more explicit constraints. The challenge lies in determining appropriate thresholds — too low forgoes legitimate opportunity, too high fails to prevent problems. Smaller, less diversified economies warrant more conservative limits than larger, more robust ones.
  3. Multi-Purpose Infrastructure: Rather than specializing exclusively in mining, strategic planning should ensure investments serve broader purposes. Grid expansion benefiting diverse industrial users, telecommunications targeting rural connectivity alongside mining needs, and workforce programs emphasizing transferable skills (data center operations, electrical systems management, cybersecurity) can treat mining as a bridge industry, justifying infrastructure that enables broader digital economy development. Singapore’s evolution from an oil-refining hub to a diversified financial and technology center provides a valuable template: leverage the initial high-value industry to build capabilities that support economic complexity, rather than becoming path-dependent on a single volatile sector. Some regions are applying this thinking to Bitcoin mining — asking what infrastructure serves mining today but could enable cloud computing, AI research, or other digital activities tomorrow.

Conclusion

The parallels between Bitcoin mining and Dutch Disease are significant: sudden, high-value activity that crowds out traditional industries through resource competition, price inflation, talent reallocation, and infrastructure specialization. Kazakhstan’s 2021–2022 experience demonstrates this pattern can unfold rapidly.

Yet essential differences exist. Mining’s mobility, currency neutrality, profitability volatility, and repurposable infrastructure create policy opportunities unavailable to governments confronting traditional resource curses. The question isn’t whether mining causes economic distortion — in some contexts it clearly has — but whether stakeholders will act to channel this activity toward sustainable development.

For the Bitcoin community, this means recognizing that long-term industry viability depends on avoiding the resource curse pattern. Regions devastated by boom-bust cycles will ultimately restrict or ban mining regardless of short-term benefits. Sustainable growth requires accepting pricing that reflects actual costs, respecting concentration limits, and contributing to infrastructure that serves broader economic purposes.

For host regions, the challenge is capturing mining’s benefits without sacrificing economic diversity. History shows resource booms that seem profitable in the moment often weaken economies in the long run. The key is recognizing risks during the boom — when everything seems positive and there’s pressure to embrace the opportunity uncritically — rather than waiting until damage becomes undeniable.

The next decade will determine whether Bitcoin mining becomes a cautionary tale of resource misallocation or a case study in integrating volatile, technology-intensive industries into developing economies without triggering historical pathologies. The outcome depends not on the technology itself, but on whether humans shaping investment and policy decisions learn from history’s repeated lessons about how sudden wealth can become an economic curse.

References

Canadian economy suffers from ‘Dutch disease’ | Correspondent Frank Kuin. https://frankkuin.com/en/2005/11/03/dutch-disease-canada/

Sovereign Wealth Funds — Angadh Nanjangud. https://angadh.com/sovereignwealthfunds


Understanding Bitcoin Mining Through the Lens of Dutch Disease was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.

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