🤝 Bitcoin and Stablecoins Shape the Future of Money

Washington is gearing up for a new era in digital assets as the GENIUS Act, a bipartisan bill establishing a regulatory framework for stablecoins, moves closer to becoming law. Treasury Secretary Scott Bessent has framed stablecoins as a tool to cement the U.S. dollar’s role as the dominant global reserve currency, a mission endorsed by President Trump.

This puts stablecoins and Bitcoin on seemingly opposite paths: one reinforcing the fiat system, the other aiming to replace it.

Yet many analysts argue the two are more complementary than adversarial. Stablecoins, as blockchain-based representations of the dollar, provide efficient payment rails and a familiar entry point for users, while Bitcoin acts as a scarce, censorship-resistant store of value, digital gold. FalconX’s David Lawant and the Bitcoin Policy Institute’s Zack Shapiro both see the assets serving different needs rather than fighting for the same ground.

The GENIUS Act would mandate strict one-to-one backing for stablecoins, restrict issuers to qualified institutions, and exempt them from securities laws. While the legislation won’t directly affect Bitcoin, observers note it could boost confidence in the broader digital asset ecosystem and, by extension, benefit Bitcoin.

Tether illustrates the interplay: its USDT token has become indispensable in emerging markets as a dollar proxy, while the company itself invests heavily in Bitcoin, holding over 100,000 BTC. Executives argue stablecoins can be a gateway to Bitcoin, with the former offering short-term stability and the latter long-term sovereignty.

Outside the U.S., this dynamic is even clearer, stablecoins provide access to dollars in unstable economies, while Bitcoin functions as a hedge against inflation and political risk. Thought leaders like Saifedean Ammous and Michael Saylor suggest the long-term trajectory may see stablecoin issuers like Tether holding more Bitcoin reserves, evolving into entities resembling Bitcoin-backed banks.

The endgame is uncertain, but one vision is emerging: stablecoins powering global dollar liquidity while Bitcoin cements itself as the ultimate reserve asset, not rivals, but parallel pillars of the new digital financial order.

🗞️ In the News

• 🇰🇷 South Koreans dump Tesla for Ethereum treasury BitMine
  Korean retail investors sell $657m of Tesla stock, piling into Ethereum treasury companies led by BitMine.

• 🇵🇰 Pakistan to deploy Bitcoin reserve in DeFi for yield
  Crypto minister Bilal Bin Saqib says the country will place seized Bitcoin into DeFi protocols to generate income, inspired by Michael Saylor. Pakistan has created a Strategic Bitcoin Reserve, invited Saylor to advise alongside CZ, and allocated 2,000 MW of power for Bitcoin mining and AI centers.

• 🇺🇸 BIT Mining boosts Solana treasury with 17,221 SOL buy
  Ohio-based BIT Mining, soon to rebrand as SOLAI Limited, has grown its holdings to 44,412 SOL ($9.95M). The firm is doubling down on Solana with validator operations, a new USD stablecoin called DOLAI, and deeper ecosystem expansion.

🗞️ Miner August Production

👁️ IREN

• Bitcoin mining delivered 668 BTC (vs. 728 BTC in July) at 44.0 EH/s average hashrate; seasonal curtailments and site outages drove lower output

• Revenue per BTC mined held steady at ~$115k, though net electricity costs per BTC rose to ($38.8k) from ($32.3k) in July

• Total August revenue $76.7m (down from $83.6m in July); Bitcoin hardware profit $50.8m with 66% margin, AI Cloud profit $2.4m with 98% margin

• Robust cash generation continues, with >$1.6m daily hardware profits and >$1bn in annualized revenue at 50 EH/s capacity

• AI Cloud scaling to 10.9k NVIDIA GPUs (>80% Blackwells), backed by ~$200m non-dilutive financing covering ~9k Blackwells arriving at Prince George; long-term expansion potential of >60k GPUs across British Columbia campuses

• NVIDIA Preferred Partner status secured; active customer pipeline includes Together AI, Hume, and Fluidstack, with projected AI Cloud revenue of $200–250m annualized by Dec 2025

• Prince George site undergoing liquid-cooled data center buildout for NVIDIA GB300 NVL72 systems; retrofits progressing on schedule

• AI Cloud revenue $2.4m in August with 98% hardware profit margin, flat month-on-month

🐝 HIVE

• Bitcoin production rose 22% in August to 247 BTC (vs. 203 BTC in July), averaging 8 BTC/day

• Average hashrate reached 16.3 EH/s in August, peaking at 18.1 EH/s; fleet efficiency ~18.5 J/TH

• Completion of Yguazú Phase 2 pushed HIVE above 18 EH/s global capacity, powered by hydroelectric energy in Paraguay

• Phase 3 Valenzuela site (100 MW) substantially complete, with first six Bitmain S21+ Hydro containers (~350 PH/s) now online

• Global fleet stands at 18.5 EH/s; fully funded ASIC deliveries underway with target of 25 EH/s by U.S. Thanksgiving 2025

• Upon completion, expected output ~12 BTC/day, representing ~2.5–3% of global Bitcoin hashrate at ~17.5 J/TH efficiency

• Management highlights 200% growth since start of 2025 (from 6 EH/s to 18.5 EH/s), citing execution across three continents and commitment to renewable energy

• Paraguay operations provide predictable cost structure via fixed-rate hydro power and low incremental labor, supporting long-term scalable growth