President Biden has issued an executive order shutting down and selling a cryptocurrency mine located near an Air Force base in Wyoming that controls intercontinental ballistic missiles with nuclear capabilities. The order was issued due to national security concerns over the potential for surveillance and espionage using the high-powered computers in the data center near FE Warren Base in Cheyenne.
Microsoft raised concerns about a China-connected cryptocurrency mine to the federal Committee on Foreign Investment in the United States (CFIUS) last October, warning about the risks associated with Chinese involvement in cryptocurrency operations. An investigation by CFIUS identified national security risks, although specific details were not outlined in the executive order.
The president’s order mandates the immediate cessation of operations at the mine and the removal of all equipment within 90 days. The owners are required to sell or transfer ownership within 120 days to mitigate the risks associated with foreign-origin mining equipment. The majority of machinery used in cryptocurrency mining in the US is manufactured by Chinese companies, leading to concerns about potential threats posed by Chinese-owned operations.
Cryptocurrency mining operations consume significant amounts of electricity and involve high-powered computers performing complex calculations to earn new cryptocurrencies like bitcoin. Chinese-owned crypto mines have proliferated in the US due to favorable conditions such as cheap electricity and a developed legal system, following the ban on such facilities in China in 2021.
In addition to Biden’s executive order, recent actions by elected officials, including banning TikTok in the US and legislation restricting foreign ownership of crypto mining operations, highlight growing concerns about Chinese involvement in critical industries. The amended laws aim to address issues such as noise pollution and foreign ownership of crypto mining operations with ties to China or Communist Party.
Biden’s order specifically targets MineOne Partners Limited, an offshore company with Chinese owners that operated a cryptocurrency mine in Wyoming. The involvement of Chinese nationals in ownership and operation raised red flags over potential security risks prompting this order’s issuance.
These actions taken by Biden and state officials reflect a broader trend of addressing national security threats posed by foreign entities in key industries like cryptocurrency mining.
In conclusion, President Biden’s executive order highlights growing concerns about Chinese involvement
