This policy brief is a guest post by Jake Langenkamp.
Bitcoin is entering a new era of geopolitical importance. In July 2024, Donald Trump became the first US presidential candidate to openly embrace Bitcoin, pledging regulatory clarity, a strategic bitcoin stockpile, and an ambitious goal for bitcoin to be “mined, minted, and made in the United States.” President Trump has since appointed crypto-friendly officials—such as Paul Atkins to head the SEC and David Sacks to serve as “AI and Crypto Czar”—signaling his seriousness about turning the US into a global Bitcoin leader.
However, bitcoin mining requires massive amounts of electricity and computer hardware, the same resources driving the country’s rapidly expanding Artificial Intelligence (AI) sector. Major AI firms like Amazon, Microsoft, and OpenAI have already made moves to secure nuclear power and build out new infrastructure to ensure uninterrupted supply. In this race, the US grid’s current capacity is insufficient to achieve worldwide leadership in both AI and bitcoin mining.
These constraints prompt a logical question: Can the US still secure “American-made bitcoin” if some of the mining infrastructure is located abroad? Drawing a parallel to American oil and gas or mineral companies that operate overseas, we can see how bitcoin mining outside the US can still serve American strategic and economic interests. Just as mined minerals and oil enter US supply chains, bitcoin produced internationally can be immediately injected into the US economy, especially if it is mined by American companies. This adds value to US capital markets and increases tax revenues at home.
One region that stands to benefit from this new model is Africa. Demographic trends show that Africa’s population will surge by nearly a billion people by 2050. Yet only about 45% of people on the continent have consistent access to electricity. Bridging this gap will require building new power plants, along with the expensive transmission and distribution lines needed to deliver energy across vast territories. African utilities commonly face two dilemmas: they must charge subsidized electricity rates to local consumers (often below cost), and they must take on high-interest debt or unfavorable contracts with independent power producers (IPPs) to fund large-scale projects. Further, African countries face a catch-22; the lack of electrical capacity generation makes it difficult to attract the industrial customers that would provide stable revenues which are needed to support increased power generation and grid expansion.
Bitcoin mining offers an innovative way to break this cycle. Unlike most industries, bitcoin mining can be moved directly to generation sites, often using a flexible setup such as shipping containers filled with specialized mining computers. All these miners really need is electricity and a basic internet connection—which can be provided by satellite. By locating mining operations at or near new power generation facilities, African utilities can sell electricity that otherwise might remain unused due to transmission bottlenecks. They also earn valuable, predictable revenues in US dollars, improving their creditworthiness and helping them secure better financing for future power projects. This dollar-based revenue stream can serve as collateral, reduce currency risks, and make utilities less reliant on loans that come with punishing interest rates and fees.
From the US’s perspective, deploying American-run mining data centers in Africa supports three strategic objectives. First, it advances American foreign policy interests by offering African nations a trusted partner in building out their energy infrastructure, which in turn promotes job creation, growth, and political stability. Second, it counters China’s growing economic influence on the continent. Chinese companies—often subsidized by their government—have moved aggressively into African markets, from building massive infrastructure projects to mining bitcoin. African utility and energy development can be the beneficiary of longer-term trusted partnerships with US bitcoin mining companies. In this way, the US can strengthen alliances and create goodwill through tangible benefits, something African governments rarely get from strictly transactional foreign partnerships. Third, deploying American-run mining companies in Africa contributes to President Trump’s ambition for American dominance in bitcoin production. Even if miners are not located on US soil, their output is effectively “American” since it is owned by US-based firms, boosts American GDP, and can be immediately available for both private and government strategic reserves.
In this sense, “American-made bitcoin” is less about geographic borders and more about ownership, legal jurisdiction, and the flow of value back to the United States. It mirrors how other commodities, such as oil or minerals, are mined abroad yet still considered part of the American economic sphere because US companies oversee extraction, sales, and distribution. Bitcoin’s digital nature makes logistics simpler: there are no costly pipelines or shipping routes.
Once mined, the asset can flow instantly to American exchanges, corporations, or even government wallets. But mining bitcoin overseas doesn’t just benefit America. These overseas mining operations can help African nations diversify their energy sectors and accelerate electrification. By purchasing excess power, bitcoin miners reduce waste, ease the cost burden for local utilities, and help make energy expansion plans financially viable. In return, American companies secure reliable energy for their mining operations and produce a digital commodity that directly feeds into the US economy. This symbiotic relationship stands to redefine how we think about both bitcoin mining and development finance, offering a path that aligns profitability with genuine social and economic impact.
In short, establishing “American-made bitcoin” in Africa aligns commercial incentives with long-term growth in countries that desperately need energy investment. It also furthers US geopolitical interests by competing with China in a new frontier, safeguarding advanced technologies from rival influence, and enriching American capital markets. Through this model, the United States can gain a leading role in Bitcoin while boosting Africa’s power capacity—an outcome that benefits all parties involved.
