Vaneck: UAE, Argentina and Ethiopia begin state-backed Bitcoin mining

As a seasoned researcher with over two decades of experience in global finance and technology, I find the recent move by BRICS members to mine Bitcoin intriguing. Having witnessed the rise and fall of numerous financial systems, I am particularly captivated by this decentralized digital asset that seems to be challenging the dominance of traditional currencies.


It’s been reported by Matthew Sigel, Head of Digital Assets Research at VanEck, that three recently added countries in BRICS—Argentina, the United Arab Emirates, and Ethiopia—have started utilizing their government resources for Bitcoin mining.

This action underscores a growing tendency among BRICS countries, joined by six more, to delve into digital assets as a means to bolster economic stability and achieve financial self-reliance. Notably, this coalition now boasts a collective GDP surpassing that of the G7, as mentioned by Sigel in an interview with CNBC. Lately, there appears to be a significant transition moving away from conventional Western monetary structures.

Among the six fresh members of BRICS, namely the United Arab Emirates, Argentina, and Ethiopia, it is reported that three of these nations are utilizing their governmental resources to mine Bitcoin.

Furthermore, Russia’s Sovereign Wealth Fund is actively investing in Bitcoin mining across BRICS nations with an aim to facilitate global trade transactions using Bitcoin as the currency.

— BitEagle🔶 (@BitEagleNews) October 28, 2024

Sigel points out that Russia’s Sovereign Wealth Fund is not only investing in Bitcoin (BTC) mining and artificial intelligence infrastructure within the BRICS group of countries, but also aims to create a regional network for conducting international trade using Bitcoin. This could potentially decrease dependence on the U.S. dollar.

During the same interview, Sigel characterized the present market environment as highly favorable for Bitcoin, likening it to the 2020 U.S. elections. He pointed out that Bitcoin’s recent surge mirrors the growing likelihood of a Trump victory and a history of heightened volatility following election outcomes.

full interview –>

— matthew sigel, recovering CFA (@matthew_sigel) October 28, 2024

To numerous individuals, Bitcoin serves as a decentralized monetary instrument offering BRICS nations an opportunity to bypass dependence on dollar-based systems.

As a researcher delving into the realm of cryptocurrencies, I’ve been exploring the intricate process known as Bitcoin mining – a task that not only generates fresh Bitcoins but also validates transactions within the blockchain system. This process necessitates a substantial investment in energy and infrastructure resources.

Read More

2024-10-28 20:28