#RiskRewardRatio
The administration of President Donald Trump imposed tariffs of up to 36% on Bitcoin mining devices imported from Southeast Asian countries, which could significantly impact U.S. mining companies that rely on these devices for their operations.
The decision, which was set to be implemented on April 9 before being postponed for 90 days, includes machines made in countries like Thailand, Malaysia, and Indonesia. At the same time, another 10% tariff remains currently in effect.
Ethan Vera, the Chief Operating Officer of Luxor Technology, stated that the new tariffs will lead to "devastation" in returns on investment, especially at a time when U.S. mining companies face major challenges such as rising energy costs and equipment renewal.
It is worth noting that the United States became the largest producer of Bitcoin after China tightened its restrictions on the industry in 2021, with most mining operations concentrated in Georgia, Texas, and New York. However, with the increase in equipment costs due to tariffs, the U.S. sector faces the risk of declining profit margins.
