Shifts in Bitcoin and Crypto

With any tech or new piece of hardware there always comes unforeseen issues, opportunities and something brand new you might not have thought about.

In this article I want to hit two sectors. The first being crypto exchanges and the second being Bitcoin mining.

Kraken IRS

Kraken is a united states crypto exchange that just recently got hit by the IRS. The IRS has required this exchange to now release KYC information and all transaction history. The company is based out of San Francisco and was founded all the way back in 2011. It become the hot spot for regulatory oversight in which it was fined over 30 million dollars to resolve disputes. It's currently registered as a money service business in the U.S.

Kraken does require KYC in order to use their services and now all of that data and information is now being released to the IRS. It's easy to say that other exchanges will soon fall victim to this as well which might ultimately kill normal exchanges and start to usher in decentralized exchanges otherwise know as DEX.

The IRS filed a court petition in the Norther District of Cali in Feb. just a few moments after it settled charges with the U.S Securities and Exchange Commission. The ruling stats that the exchange must turn over all information for anyone who has made $20,000 worth of transactions in a calendar year. The information will include Username, Birthdate TIN Tax payer Identification number, address, phone number, email address and a ton of other documents to go with it.

Bitcoin Mining

Bitcoin mining has been ramping up to crazy levels. Just take a look at the recent has rate for Bitcoin over the last year

The hash rate as nearly doubled now while the price has also nearly doubled since the hard crash in 2022 Winter into the start of 2023. It also shows us that the bottom of the bear market is only about 6 months ago.

The question is now what to do with all of the older expired mining hardware that just doesn't mine enough bitcoin. Well new life seems to be coming to them as the mining company hunt 8 has pointed out.

These ASIC systems are now being tossed out for other things including the infrastructure that powers it all. Hunt 8 has recently signed a contract with Canada's health sector.

Some examples of what companies like Hunt 8 are now doing is providing the infrastructure for massive cooling of high end computer systems that produce a ton of heat. They also have the buildings and land to be able to currently house these systems and expand them. The other aspect of these systems is they have solid power solutions with pickup renewable power supplies as well. Further expanding the capabilities of the company to expand outside of bitcoin mining and bring in a totally unique and new method of generating revenue.

The crypto space continues to expand to new levels and new alternative means to building revenue for both large companies and small. With constant pressure of the IRS to claim all data on everyone from years past and most likely get slapped with massive fees.

However large legitimate bitcoin companies are now expanding and finding more and more ways to build revenue from older systems that no longer are worth mining crypto for.

Posted Using LeoFinance Alpha