The top three Chinese companies are producing Bitcoin Mining Rig in the United States. Bitmen, Canan and Microbeet have taken this strategy to deal with President Donald Trump's new tariff policy. The move to avoid tariffs is no longer just economic – it is raising new concerns and controversy surrounding national security and technical self -reliance with the presence of Chinese technology in the United States.
The three companies make more than 5 percent of the world's mining rig (special computer system for cryptocurrency mining). Although companies can avoid tariffs by building bases in the United States, analysts say it will increase concerns over security in the United States.
Guang Young, the technology of the Crypto Technology Company Conflax Network, said the trade war was not just a matter of tariff, it was a structural change. US companies now want 'politically acceptable' hardware.
Bitmaine started mining in the United States last December. Canan is experimentally manufacturing in the United States – with the aim of avoiding tariffs. The company's senior executive Leo Wang said the initiative is still experimental. Because the customs situation is very uncertain.
Another company Microbet said they were strengthening local production strategies in the United States to avoid tariff influence.
By the end of 2021, the market research firm Frost & Salivan said that the three manufacturers occupied 5.7 percent of the market in the hands of computing power. US hardware competitor Aradine says 5 percent of the world's Bitcoin mining is in the United States, but 5 percent of the rig still comes from China.
Sanjay Gupta, the main strategy of Aroadine, said that the addition of millions of Chinese machines to the US grid is worrying for security.
Cannon Head of Capital Markets Leo Wang says the mining rig is used only in Bitcoin production, so they are not a threat to security.
However, the risk of ban on Chinese technology products in the United States cannot be avoided. In the meantime, the US government has blacklisted the artificial intelligence association of Bitmine, Sopgo.
At one time, the Bitcoin sector controlled the entire chain of China – from the construction of the rig to mining and transactions. However, in 2021, China banned the crypto activities in the mainland, cracking on that domination. However, their leadership is maintained in the construction of the rig.
Now Canan is taken away from China to Singapore, but China is present in the production and market. In the United States, 5 percent of their revenue comes.
“The main goal is to reduce costs for us and our customers,” said Wang, the company's corporate deputy president. However, in the reality of tariff we are forced to think of all alternatives. '
In 2021, the United States imposed an additional 20 percent tariff on imported from China. Even the tariffs on imports from the countries where Chinese companies are setting up in Southeast Asia may increase.
Meanwhile, President Trump has declared himself a “crypto president” and his son Eric Trump has launched an initiative called 'American Bitcoin', which aims to build a strategic Bitcoin in the United States.
However, the Trump administration's initiative is bringing China's technology domination to the fore. US lawyer John Ditton said that if China has limited exports or impacts on supply, the stability of the Bitcoin network could have a negative impact.
The United States top mining company – Mother, Core Scientific, Clinspark and Rayot Platforms – all are US -based. So dependence on Chinese hardware is now becoming an important strategic issue, analysts say.
Crypto Platform Komodor Technical Technical Census Kadan Stadolman said it was not intended to hurt the industry, but to bring about the change that was needed long ago.
References: Reuters
