AI crypto tokens at risk as Nvidia faces restrictions on China exports
AI-focused crypto tokens are seeing a dip as Nvidia, the top AI chipmaker fueling the space, could soon take a major financial hit due to new U.S. export restrictions.
In a filing on April 14, Nvidia said it expects around $5.5 billion in charges for the first quarter of fiscal year 2026 because of U.S. government rules limiting its AI chip sales to China.
On April 9, officials told Nvidia it now needs special export licenses for its popular H20 chips and others with similar capabilities. The new restrictions target China, Hong Kong, and Macau, with the government warning that the chips could end up powering Chinese supercomputers.
The H20 chip is the most advanced AI chip Nvidia is currently allowed to sell in…
