In October, The New York Times reported on security concerns surrounding a Cheyenne-based cryptocurrency mining operation with ties to China, located near F.E. Warren Air Force Base. The White House recently ordered the reversal of the land sale to the company, citing national security risks.
The buyers purchased the land in June 2022 from Cheyenne LEADS and made improvements for specialized cryptocurrency mining operations. The proximity to F.E. Warren, a strategic missile base, raised concerns. The transaction was only disclosed to the Committee on Foreign Investment in the United States after a public tip.
CFIUS, the committee responsible for reviewing foreign investments in the U.S., identified national security risks due to the facility’s location near F.E. Warren and the presence of specialized foreign-sourced equipment used for cryptocurrency mining. The report highlighted the potential for surveillance and espionage activities.
The founder of MineOne Partners Limited, the company that bought the land, denied any involvement in espionage activities and emphasized transparency. The company moved its operations to the U.S. after China banned bitcoin mining in 2021.
Black Hills Energy and Lumen influenced Cheyenne LEADS to sell the land, citing business opportunities. Despite assurances from MineOne, the White House’s order led to the termination of their agreement with Black Hills Energy.
Experts have raised concerns about the facility’s potential for espionage, particularly in manipulating energy usage or monitoring activities. However, the risk of tapping into secure networks at F.E. Warren remains unclear.
Wyoming Governor Mark Gordon supported the White House’s decision to reverse the land sale, emphasizing the importance of protecting national security and critical infrastructure. A new bill relating to homeland security, sponsored by State Sen. Tara Nethercott, aims to enhance oversight of property transactions near sensitive sites.
Local officials and the Greater Cheyenne Chamber of Commerce expressed suspicion over the transaction, highlighting the need to safeguard national assets. CFIUS has instructed the buyer to sell or transfer the property within 120 days and remove all structures within 90 days.
The story was published on May 15, 2024.