Key Takeaways:
- $220M raised by Trump-affiliated American Bitcoin, including $10M in Bitcoin (BTC)
- Dubai expansion signals growing Middle East crypto corridor despite US political rhetoric
- NASDAQ listing planned via merger with Gryphon Digital Mining
- Eric Trump serves as the Chief Strategy Officer of the mining operation
When Politics Meets Hash Rate
In a move that reads like a crossover episode between House of Cards and Silicon Valley, the Trump family is now doubling down on crypto. Hut 8 Mining, majority owner of the Trump-linked American Bitcoin Corp, just raised $220 million to expand mining operations, while quietly planting a flag in Dubai’s crypto oasis. The twist? $10 million of the raise was taken in actual Bitcoin (BTC), a feat that would make any crypto purist smile.
The Money Trail: From Wall Street to Blockchain
The funding round stands on three strategic aspects:
- Institutional Backing: 11M shares sold to traditional investors
- Crypto-Native Flex: 10% of capital raised in BTC (valued at $104K per coin)
- Global Footprint: New trading operations office in Dubai
For the Trump group, this doesn’t seem to be purely about mining but about positioning at the intersection of geopolitics and digital assets.
NASDAQ Ambitions
In the meantime, American Bitcoin is planning to go public via a reverse merger with Gryphon Digital Mining (ticker: ABTC), giving the Trump family an extraordinary 80% stake in the listed entity.
The UAE Connection: Crypto’s New Power Broker
While Donald Trump campaigns to make America the “crypto capital of the world,” his family’s businesses are hedging their bets in Dubai, a city where:
- 0% corporate tax lures miners
- The Virtual Assets Regulatory Authority (VARA) regulations offer clearer rules than the US
- MGX and Aqua 1 funds are pouring billions into Trump-linked projects
Guess what: Ironically, the same administration criticizing offshore tax havens is now routing crypto capital through them.
The Crypto Space Watches
- The Policy Paradox: Highlights the gap between US political rhetoric and capital flows; controversial from any point of view
- Mining Arms Race: $220M buys cutting-edge ASIC miners to compete with Riot, Marathon
- Stablecoin Synergy: Ties to World Liberty Financial’s USD1 stablecoin project
So far, it looks like Dubai isn’t competing for America’s crypto dominance; instead, it’s building the infrastructure that US politics has failed to provide to this point.
Against all odds, Bitcoin mining profitability surged by nearly 20% in May, driven by a rise in BTC prices. This is according to a research report from investment bank Jefferies, which also noted that the share of US miners in the network increased from 24.1% in April to 26.3% in May.The Political Hash Rate War
American Bitcoin’s upcoming NASDAQ debut highlights crypto’s evolving role in political fundraising. However, a key question remains: Will voters overlook potential conflicts of interest if a presidential candidate’s family benefits from BTC mining while the candidate addresses energy concerns?
Final Thought: In crypto, even political dynasties must HODL through volatility.
Pro Tip: Watch American Battery Technology Company (ABTC)’s pre-merger volatility; this could become the first politically-linked crypto stock on NASDAQ.
For more on Bitcoin mining-related stories, read: Bitcoin Mining Firms Face the Steepest Cost Hike in Years
