Economist sees opportunity for Spain to become Bitcoin mining hub
Amidst the internet blackout that created mining disruption in Kazakhstan, lawyer and economist María Muñoz, who is also the Deputy for the Spanish Ciudadanos political party, has suggested a bill with the intention to make Spain a Bitcoin mining hub.
The potential of Spain to become Bitcoin hub
In a tweet, Muñoz reaffirmed her support for Spain as a Bitcoin (BTC) hotspot, writing, "the protests in Kazakhstan have repercussions all around the world but also for Bitcoin." She went on to advise that Spain presents itself as a safe destination for crypto to establish an efficient, flexible, and secure industry.The tweet was followed by a two-page open letter addressed to the Spanish Congress of Deputies. Muñoz emphasized the importance of the protests and the response by the government before it shut down the internet in Kazakhstan. She further cited a report by the Cambridge Centre for Alternative Finance that reveals that Kazakhstan is the world's second-largest Bitcoin miner, accounting for almost 20% of the BTC hash rate in late 2021. Kazakhstan's Bitcoin miners saw the hash rate dropping by 13.4% following the government's decision.
Ciudadanos has been a long Bitcoin supporter in Spain
Muñoz is hoping that Spain would embrace these Bitcoin-friendly characteristics. However, political uncertainty may be one of the biggest challenges Bitcoin would face.Her party, Ciudadanos, or "Citizens," has long been a supporter of the Bitcoin network, and in October 2021, it presented a national policy on cryptocurrencies.
Mining infrastructure is not geographically constrained, as Bitcoin hash rate changes have often demonstrated. Kazakhstan and Kosovo, for example, hugely benefited from China's mining crackdown. It will be interesting to see what Spain plans for the crypto industry.
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