President Biden has ordered a Chinese-owned company to shut down and sell a cryptocurrency mine in Wyoming located near an Air Force base that controls nuclear-armed intercontinental ballistic missiles. The president cited national security concerns, as the mine’s equipment could be used for surveillance and espionage. Microsoft had flagged the mine to a federal committee, warning of potential intelligence collection operations by the Chinese. The order requires the mine to cease operations immediately and remove all equipment within 90 days, selling or transferring the property within 120 days.
Cryptomining operations use high-powered computers to mine for cryptocurrency like Bitcoin, consuming a significant amount of electricity. Chinese-owned cryptocurrency mines have expanded in the United States due to a ban in China. President Biden’s order follows a bipartisan bill banning TikTok unless sold by its Chinese owner. Arkansas has also implemented laws restricting foreign ownership of cryptomining operations, targeting Chinese investors operating in the state. The amended law requires foreign-owned cryptomines to divest within one year.
The targeted company, MineOne Partners Limited, had Chinese nationals as owners and operated the Wyoming mine. The mine began operating in 2023 after being built by Bit Origin Ltd., a former Chinese pork producer turned cryptocurrency miner. The company president, Li Jiaming, was unavailable for comment but previously stated that the site was chosen for its electricity supply contract, not its proximity to the military base.