The official defends Bitcoin as an alternative to fiat money as a store of value and as an investment mechanism. Many believe that Bitcoin mining contributes to harming the environment due to carbon dioxide (CO2) emissions.

Bitcoin (BTC) mining has been expanding in some regions of the United States at a large scale. Republican Senator Cynthia Lummis recently invited those who work in this sector to settle in her state, Wyoming.

Lummis defends using Bitcoin as an alternative to fiat money as a store of value and as an investment mechanism. The official believes that the pioneering cryptocurrency should be part of citizens’ investment portfolios and retirement funds.

The senator told CNBC that many people misjudge cryptocurrency mining, arguing that it mainly uses unclean energy sources. The legislator explained that many things show a different reality since this activity uses various renewable energy sources. After those statements, Lummis confirmed her position on her Twitter account and welcomed the miners to Wyoming.

In her message, the official highlighted that those in the Bitcoin mining space could operate in Wyoming. The lawyer recalled that mining used increasingly less fossil fuel energy and that innovation continues to develop in this activity.

Regarding the US dollar, Lummis said that it would maintain its status as a world reserve currency. However, she criticized the government for the excessive printing of dollars, as this could be weakening the value of the US fiat currency. She showed her concern about people having all their retirement money in US dollars.

Bitcoin Mining Can Also Use Renewable Energy Sources

Many have recently questioned Bitcoin mining for allegedly using non-renewable energy sources. Although the claim is not new, it drew attention after Tesla’s CEO Elon Musk said it harmed the environment.

Researchers from the University of Cambridge found that 76% of the energy that Bitcoin mining uses comes from renewable sources. Although miners mainly use hydroelectric power, they also use wind, solar, and geothermal energy sources. In other words, they use increasingly less oil-derived energy, thus helping to reduce carbon dioxide (CO2) emissions.

It is important to remember that Wyoming is one of the provinces that most supports the pioneering cryptocurrency. In 2019, they legalized the use of Bitcoin and other cryptocurrencies as a means of payment. The law of the state crypto assets as property whose operation is like that of fiat money.

Some US government officials such as Cynthia Lummis support the mining of Bitcoin and its adoption as a means of payment. However, others oppose it and recommend strict measures in countries that adopt it as legal tender. The Undersecretary of Public Affairs, Victoria Nuland, recently told Salvadoran President Nayib Bukele to regulate it when he fully implements the Bitcoin Law.

She stressed that the use of cryptocurrency had to be transparent and accountable to ensure protection against malicious actors. Nuland said that the US government had Bitcoin in its sights after the cyberattack against Colonial Pipeline. That is a sign that she believes that Bitcoin only serves to promote illicit activities.

By Alexander Salazar

Although the impact of cryptocurrencies on society has been significant, they still have to face many challenges. People’s trust in cryptocurrencies will increase their market value along with demand.

Cryptocurrencies grow when more people invest in them and when societies consider them a valid means of exchange or storage. It is hard to imagine the future of these types of assets, but some experts have predicted what they will look like within a few decades.

Bitcoin Could Become the World’s Reserve Currency

Ivory Johnson, the certified financial planner and founder of Delancey Wealth Management, said that cryptocurrencies would disrupt traditional finance. He explained that they could transfer cross-border payments quickly and efficiently at a low cost without fluctuations in foreign currency.

He believes that Bitcoin could become the world’s reserve currency or the next AOL in less than 50 years.

He added that financial advisers were looking to offer the investments to customers as investor interest in cryptocurrencies grows.

The US Dollar Will Look More Like Cryptocurrencies

Frederick Kaufman, a professor of English and journalism, said that Bitcoin went from being a speculative tool to being a wealth-protecting one. He predicted that the US dollar would look more like a cryptocurrency than silver or itself long before 2071. Therefore, he does not think there is a need to doubt the longevity of algorithms.

He also highlighted that the drive to invest would accelerate as people’s lives converge more with the digital universe.

They Allow Moving Money, So They Are Unlikely to Disappear

Dan Egan, Vice President of Behavioral Finance and Investments at Betterment, spoke about the relevance of cryptocurrencies. He said that crypto assets like Bitcoin allow moving money and speculating, so they are unlikely to disappear.

He recommended thinking carefully about where and how to generate energy to meet demand. Likewise, he advised considering whether state actors would further turn it into a black market product.

Cryptocurrencies Will Be a Mainstream Within 10 Years

Dragan Boscovic, director of Blockchain Research Lab, considers that not everything is negative for cryptocurrencies as news brings hope to this market.

He noted that central bank authorities were busy developing regulations on cryptocurrencies. He said that they recognize that cryptocurrencies could become mainstream within one decade.

Boscovic explained that cryptocurrencies have been among people for almost ten years, during which time they have gained traction.

Trust in Cryptocurrencies Will Maintain Despite Falls

Steve Ehrlich, CEO of Voyager, believes it is encouraging that investors remain bullish following the recent market correction.

The executive commented that most investors trust more in the future of cryptocurrencies. That is a sign that people see May’s volatility as an opportunity to buy.

The Future of Cryptocurrencies Is Still Up in the Air

As long as people maintain their trust in cryptocurrencies, the outlook for them will remain favorable. Besides, its market value will increase at the same time as its demand.

José Ángel Álvarez, president of the National Association of Cryptocurrencies in Venezuela, said that the support for a cryptocurrency depends on trust.

In conclusion, the future of cryptocurrencies is still up in the air as companies, experts and investors need to know them in depth. Furthermore, they must be prepared to face any scenario if they decide to bet on them.

By Alexander Salazar

Software maker Beijing Qudao Cultural Development had its cryptocurrency Mao Li Coin before the ban. Since May, the Chinese government has not allowed the trading of cryptocurrencies on the territory.

The People’s Bank of China (PBOC) and the Beijing Municipal Office of Local Financial Supervision ordered to close Beijing Qudao Cultural Development Co Ltd. The company allegedly provided software services for cryptocurrency transactions, so it had to stop its operations and close its website.

The Beijing Financial Conduct Authority and the Department of Business Administration of the POBC said companies could not provide cryptocurrency-related advertising services. These include business premises supplies, business displays, marketing advertising, public relations, and traffic advertisements.

They also recommended many consumers improving risk awareness and adopting an appropriate investment philosophy. They advised them not to engage in cryptocurrency trading speculation activities to avoid illegal use and disclosure of personal information. They emphasized that users should promptly report potentially illegal crypto-asset transactions to public security agencies.

China Establishes Bans to End Bitcoin

The People’s Bank of China has imposed these limitations on Bitcoin for some time. In May, the Chinese government announced a ban on cryptocurrency trading and mining. Besides, the Central Bank of China announced that it would close the account of users trading cryptocurrencies. More recently, the financial regulator prohibited banks from processing cryptocurrency transactions.

At the time, the People’s Bank of China warned all banks and institutions about the alleged risks of Bitcoin and the financing of token issuance.

Galaxy Digital analysts consider that China has also restricted mining as part of its plan to end Bitcoin. The company stated that the Financial Stability and Development Committee (FSDC) decided to do that for political reasons rather than economic ones.

China Does Not Want Bitcoin to Compete with the Digital Yuan

With these limitations, China seems not to want competitors near the digital yuan, whose implementation has been accelerating since 2020. They made the request after a group of central banks produced a document specifying how to design central bank digital currencies (CBDCs).

Chen Yulu, deputy governor of the People’s Bank of China, said they should build an independent and high-quality financial infrastructure. He added that they had to accelerate research and development for the central bank’s digital currency. Likewise, he stated that they should ensure pilot tests demonstrate that the digital currency is controllable and protects the security of payments.

However, other countries like El Salvador do not agree that ending Bitcoin will improve their economies. The Central American nation approved the Bitcoin Law to recognize the pioneering cryptocurrency as legal tender. A rule whose implementation should be ready on September 7^th will support the regulation. They expect this to attract new investment of foreign capital and the development of industries.

The president of El Salvador, Nayib Bukele, has contributed to making Bitcoin stronger with this decision. The cryptocurrency is trading at around USD 34,572 and has dropped by 0.10% in the last 24 hours, according to CoinGecko.

By Alexander Salazar

The senator believes that Mexico falls behind in financial inclusion, especially when it comes to Bitcoin. She applauded the Salvadoran president’s decision to adopt Bitcoin as legal tender.

In recent days, the Mexican senator for Nuevo León, Indira Kempis, spoke about Bitcoin and other cryptocurrencies. She said her country should engage more with the financial innovation they offer. The specialist in public administration believes that the debate on these assets should reach the legislative body and the national executive branch.

Discussions about the impact of crypto assets in Mexico should set the stage for debate, Kempis commented. Likewise, she said that they should involve the president of Mexico, Andrés Manuel López Obrador, and the Congress of the Union.

Kempis commented that cryptocurrencies and blockchains are the evolution of the Internet, but the Mexican legislative body and the executive branch must discuss them.

The senator considers that there is no right to financial inclusion in Mexico, which could be influencing existing inequality. She thinks the State should bet on Bitcoin without controlling it but regulating the activities with it instead.

Bitcoin and Blockchain Technology Would Help Fight Corruption

The potential adoption of Bitcoin and blockchain technology in Mexico would help counteract inequality and corruption, said Kempis. She believes that these are the two biggest problems in Mexico and Latin America, besides violence.

The official suggested establishing pilot programs to pay national taxes and fines. Also, she recommended making crypto assets part of the treasuries of companies or official agencies.

The legislator recognized that there is enough human talent and technology in Mexico to do this adoption. However, she stressed that the weakness is the lag in the rights and freedoms for financial inclusion. In other words, she noted that the problem is that less than half the population has bank accounts.

The implementation of the Mexican FinTech law has not happened in the best way due to the many limitations and persecution, Kempis argued. This situation would be undermining the financial rights of people, said the official.

Kempis Agrees with the Adoption of Bitcoin in El Salvador

The senator praised the decision of the President of Salvador, Nayib Bukele, to adopt Bitcoin as legal tender. Kempis said that the new Salvadoran Bitcoin Law is proof that the Central American country is taking risks in monetary matters.

The official commented that Mexico must stop being part of these digital lags to combat problems. She said that El Salvador has its conditions and that Mexico should have similar ones.

The senator and Emilio Saldaña, from the U-Gob Lab training and technological innovation center, agree that people must use Bitcoin technology in Mexico. In this regard, Saldaña emphasized that what happened in El Salvador will affect other countries.

The world is a laboratory for new financial technologies, and most central banks are assessing Bitcoin, Saldaña commented. He thinks it would be interesting to see Mexico dare to use the pioneering cryptocurrency along with fiat currencies.

By Alexander Salazar