đHow Trumpâs Tariffs Could Disrupt Crypto and Blockchain?đ
If re-elected, Donald Trumpâs proposed tariffsâincluding a 10% universal baseline and up to 60% on Chinese goodsâcould indirectly hurt crypto and blockchain in several ways:
1. **Tech Supply Chain Disruptions** â High tariffs on Chinese electronics (like mining hardware) could raise costs for miners and node operators, squeezing profits and slowing network growth.
2. **Trade War Fallout** â Escalating tensions with China may restrict access to cheap renewable energy (used by miners in Sichuan) or spur retaliatory bans on U.S. crypto firms operating abroad.
3. **Stablecoin Risks** â If tariffs destabilize the USD or trigger inflation, stablecoins like USDT/USDC could face volatility, undermining trust in cryptoâs "safe haven" role.
4. **Innovation Slowdown** â Tariffs may fragment global blockchain collaboration, delaying projects reliant on cross-border partnerships (e.g., CBDCs or DeFi protocols).
While crypto thrives on decentralization, trade wars create artificial barriersâexactly what blockchain seeks to dismantle. The industry could adapt, but not without short-term pain.
**conclusion:**
Tariffs risk making crypto more expensive and less efficient, contradicting its core promise of open, borderless finance