Although the report doesn't propose any new regulations it sends a warning to miners of bitcoin.
This opinion editorial is by Robert Hall, who is a content creator and small-business owner.
A report by the White House Office of Science and Technology Policy warned that mining requires a lot of energy and demanded miners to become more green or face a ban. What can we do as plebs to protect Bitcoin against government overreach?
September 8, 2022 should be considered the date that the United States declared war on Bitcoin and its supporter. The White House and President Biden sent shockwaves through Bitcoin communities with their announcement that they were considering banning proof-of-work miners, which is what gives Bitcoin its power.
This is a clear indication of the severity of the attack. This is an avowed attack on Bitcoin, the asset, Bitcoin The Protocol, the industry that has organically grew since 2009, and more importantly, its supporters.
The Biden administration isn't concerned that Bitcoin's annual settlement volume exceeded Visa last year. Did you know that $13.1 trillion in transactions were made on-chain by 2021? The legacy financial system is likely losing their sleep over this. They are working overtime to control Bitcoin and stop it from becoming a total mess.
The Federal Reserve, the Federal Government and the banks all have a symbiotic relationship. They need each other for survival. Each one draws power from the other until you are unsure who is in control most of the time.
The banks finance the campaigns to buy politicians they want, while the politicians pass laws that are in the bank's favor. This entire arrangement is made possible by the federal reserve, which acts as a middleman. This is how the system works, for both the banks and the politicians. Naturally, both parties are incentivized and encouraged to attack Bitcoin.
The federal government uses ESG (Environment, Social, and Governance narrative) as a convenient tool to condition the public into accepting government interference in business operations. Because Bitcoin is energy-secured, it makes it easy to denigrate the Bitcoin protocol. Here's a sample of FUD:
"Why Bitcoin is Bad for the Environment"
"Bitcoin Consumes More Electricity Than Argentina"
"Bitcoin mining operation In Finger Lakes Sparks Local Concerns"
Because Bitcoin is still a small asset class, compared to the stock and bond markets, this type of propaganda is not resisted. As of the time this article was written, Bitcoin's market cap is under $500 billion. So why are they trying to take Bitcoin down like this?
The world is changing rapidly lends credence the idea that they are trying to control the situation and block exits. This is a form of capital control function. The government does not want dollars flowing into assets they do not control. They know they can't let the ball drop.
Because they intend to implement this policy soon, I think the Biden administration has floated the idea of banning proof-of work mining. This is a situation that must be dealt with immediately. You must act if you care about Bitcoin.
How can Bitcoiners fight back?
We can take many actions as Bitcoiners to stop this policy being implemented. It is best to educate those who have the ability to stop it from happening.
This is what it looks like in practice. Contact your senator representatives and your house representatives to let them know that you are concerned about this issue. They will listen more if more people speak out. This tactic has worked in the past. A recent example is the rapid mobilization against last year's infrastructure bill. During this fight, forty thousand calls were made!
Despite all the support from the wider cryptocurrency industry, President Biden signed the infrastructure package last November. We lost the battle but the silver lining is that we were able mobilize thousands to make a call. This is a huge deal and something that could be built on.
Focus On The States
To prevent Bitcoin being taken away from us, we need to be more active in advocacy and educate. America has a decentralized government. This is the beauty of America. There are 50 state legislatures that must listen to Bitcoiners.
In my opinion, this is where we should focus our efforts. While advocacy and education at the federal level might be helpful, I believe it is a forgone conclusion that the current administration opposes Bitcoin and will not change their stance. They value control and power over American citizens' well-being.
The power of the 10th Amendment to the United States should be used by Bitcoiners to present their case to the state legislators. The 10th Amendment states that "The powers not delegated by the Constitution to the United States nor prohibited by it are to the States to the States" and that they are reserved for the States or the people.
The Constitution doesn't give the federal government power to regulate energy use by the people or states. The states should respond by nullifying a so-called ban of proof-of-work miners.
Incentives to support Bitcoin mining through the 10th Amendment include educating state legislators on both sides of each aisle about Bitcoin mining and the benefits it could generate for their state.
Citizens in these 26 states can vote to protect Bitcoin mining by not having to go through state legislatures.
Don't be afraid to ignore any bans that may occur and keep your miner(s) plugged in at work. Imagine a world in which every home has an S9 mining Bitcoin at home. There is nothing they can do.
As free individuals, we have the right and obligation to use the most money that has ever been created in order to preserve our wealth as well as our time. This money cannot be taken away by the government. Keep fighting the good fight! We will prevail in the end.
Robert Hall contributed this guest post. These opinions are not necessarily those of BTC Inc. and Bitcoin Magazine.
Frequently Asked Questions
How much should precious metals be included in your portfolio?
To answer this question, we must first understand what precious metals are. Precious metals refer to elements with a very high value relative other commodities. This makes them valuable in investment and trading. Today, gold is the most commonly traded precious metal.
There are many other precious metals, such as silver and platinum. The price of gold tends to fluctuate but generally stays at a reasonably stable level during periods of economic turmoil. It also remains relatively unaffected by inflation and deflation.
All precious metals prices tend to rise with the overall market. But they don't always move in tandem with one another. For example, when the economy is doing poorly, the price of gold typically rises while the prices of other precious metals tend to fall. This is because investors expect lower rates of interest, which makes bonds less attractive investments.
Contrary to this, when the economy performs well, the opposite happens. Investors prefer safe assets such as Treasury Bonds and demand fewer precious metals. They become less expensive and have a lower value because they are limited.
Therefore, to maximize profits from investing in precious metals, you must diversify across multiple precious metals. Additionally, since the prices of precious metals tend to rise and fall together, it's best to invest in several different types of precious metals rather than just focusing on one type.
What are the benefits of a gold IRA
There are many advantages to a gold IRA. You can diversify your portfolio with this investment vehicle. You decide how much money is put in each account and when it is withdrawn.
You also have the option to transfer funds from other retirement plans into a IRA. This makes for an easy transition if you decide to retire early.
The best part? You don’t need to have any special skills to invest into gold IRAs. They are readily available at most banks and brokerages. Withdrawals can happen automatically, without any fees or penalties.
There are, however, some drawbacks. Gold has always been volatile. It's important to understand the reasons you're considering investing in gold. Do you want safety or growth? Is it for security or long-term planning? Only then will you be able make informed decisions.
If you plan on keeping your gold IRA alive for a while, you may want to consider purchasing more than 1 ounce of pure gold. A single ounce will not be sufficient to meet all your requirements. You could need several ounces depending on what you plan to do with your gold.
If you're planning to sell off your gold, you don't necessarily need a large amount. You can even manage with one ounce. However, you will not be able buy any other items with those funds.
Can the government steal your gold?
Because you have it, the government can't take it. You worked hard to earn it. It is yours. However, there may be some exceptions to this rule. You can lose your gold if you have been convicted for fraud against the federal governments. If you owe taxes, your precious metals could be taken away. However, even if taxes are not paid, gold is still your property.
Is gold a good investment IRA?
Anyone who is looking to save money can make gold an excellent investment. It's also a great way to diversify your portfolio. But gold is not all that it seems.
It has been used throughout history as currency and it is still a very popular method of payment. It is sometimes called the “oldest currency in the world”.
Gold is not created by governments, but it is extracted from the earth. It is very valuable, as it is rare and hard to create.
The price of gold fluctuates based on supply and demand. When the economy is strong, people tend to spend more money, which means fewer people mine gold. The value of gold rises as a consequence.
The flip side is that people tend to save money when the economy slows. This leads to more gold being produced which decreases its value.
This is why both individuals as well as businesses can benefit from investing in gold. You will benefit from economic growth if you invest in gold.
Your investments will also generate interest, which can help you increase your wealth. You won't lose your money if gold prices drop.
What precious metals could you invest in to retire?
These precious metals are among the most attractive investments. They are both easy to trade and have been around for years. Consider adding them to the list if you're looking to diversify and expand your portfolio.
Gold: One of the oldest forms of currency, gold, is one of mankind's most valuable. It is very stable and secure. Because of this, it is considered a great way of preserving wealth during times when there are uncertainties.
Silver: Silver has always been popular among investors. It is an excellent choice for investors who wish to avoid volatility. Silver tends instead to go up than down, which is unlike gold.
Platinium is another precious metal that is becoming increasingly popular. It's like silver or gold in that it is durable and resistant to corrosion. It's however much more costly than any of its counterparts.
Rhodium – Rhodium is used to make catalytic conversions. It is also used to make jewelry. And, it's relatively cheap compared to other types of precious metals.
Palladium: Palladium has a similarity to platinum but is more rare. It's also much more affordable. This is why it has become a favourite among investors looking for precious metals.
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- You can only purchase gold bars at least 99.5% purity. (forbes.com)
- Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
- Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (lendedu.com)
- 7 U.S. Code SS7 – Designation of boards for trade as contract markets
- 26 U.S. Code SS 408 – Individual retirement accounts
- Saddam Hussein's InvasionHelped Uncage a Bear in 1990 – WSJ
- Are you interested in keeping gold in your IRA at-home? It's Not Exactly Lawful – WSJ
Guidelines for Gold Roth IRA
Starting early is the best way to save for retirement. As soon as you become eligible, which is usually around age 50, start saving and keep it up throughout your career. It is essential to save enough money each year in order to maintain a steady growth rate.
Additionally, tax-free opportunities like a traditional 401k or SEP IRA are available. These savings vehicles permit you to make contributions, but not pay any tax until your earnings are withdrawn. These savings vehicles are great for those who don't have access or can't get employer matching funds.
It is important to save consistently over time. If you aren't contributing the maximum amount permitted, you could miss out on tax benefits.
By: Robert Hall
Title: Biden Administration Targets Bitcoin Mining In New Report
Sourced From: bitcoinmagazine.com/legal/biden-administration-targets-bitcoin
Published Date: Wed, 21 Sep 2022 23:20:00 GMT