President Biden Orders Chinese-Owned Cryptocurrency Mine in Wyoming to Shut Down
President Biden issued an executive order on Monday mandating the closure and sale of a cryptocurrency mine in Wyoming with Chinese origins, located just a mile away from an Air Force base controlling nuclear-armed intercontinental ballistic missiles. The president cited national security concerns, stating that the mine’s high-powered computers could pose a risk for surveillance and espionage.
The decision to shut down the cryptomining facility near the F.E. Warren base in Cheyenne came after Microsoft raised red flags about the Chinese-connected operation to the federal Committee on Foreign Investment in the United States. Microsoft warned that the mine could enable the Chinese to conduct intelligence collection operations, prompting an investigation that identified national security risks.
The executive order requires the mine to cease operations immediately, remove all equipment within 90 days, and sell or transfer the property within 120 days. The facility’s use of “foreign-sourced” mining equipment, predominantly manufactured by Chinese companies, was highlighted as a significant concern.
Cryptomining operations involve high-powered computers running continuously to solve complex algorithms and earn cryptocurrency rewards, such as Bitcoin. These operations consume massive amounts of electricity, with the Wyoming mine alone drawing as much power as 55,000 homes.
Chinese-owned cryptocurrency mines have proliferated in the United States following a ban in China in 2021. The Times identified Chinese-operated Bitcoin mines in at least 12 states, raising concerns about potential ties to the Chinese government or Communist Party.
President Biden’s order follows bipartisan efforts to address national security risks posed by Chinese-owned operations, including a recent ban on TikTok unless sold by its Chinese owner. Arkansas also enacted laws restricting foreign ownership of cryptomining operations, targeting Chinese investors with ties to the authoritarian government.
The closure of the Wyoming mine, operated by MineOne Partners Limited and related entities, marks a significant move in safeguarding national security interests. The president’s action underscores the growing scrutiny of Chinese-owned cryptomining operations in the United States and the need to address potential risks associated with foreign ownership in critical industries.
