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- US President Joe Biden has blocked MineOne, a Chinese-backed crypto mining firm, from owning land near a strategic nuclear missile base in Wyoming due to security concerns.
- The firm, which is majority-owned by Chinese nationals, was operating within 1 mile of Francis E. Warren Air Force Base, 3 miles west of Cheyenne, Wyoming.
- The US government has cited the proximity of the business to the missile base and the presence of specialized foreign-sourced equipment as a potential national security risk.
US President Joe Biden has issued an order blocking a Chinese-backed crypto mining firm from owning land near a strategic missile base in Wyoming, citing national security concerns. The move highlights the ongoing tensions between the US and China in the crypto mining sector.
Security Concerns Prompt Action
The White House announced that there is credible evidence that MineOne Partners Limited, a British Virgin Islands company, is majority-owned by Chinese nationals. The firm had acquired real estate within 1 mile of Francis E. Warren Air Force Base, 3 miles west of Cheyenne, Wyoming, for its cryptocurrency mining operations. The US government has approved a divestment order, forcing the firm to shut down its operations due to the potential national security risk posed by the proximity of the business to the missile base and the presence of specialized foreign-sourced equipment.
Regulatory Oversight and International Tensions
The transaction was not filed with the regulatory body, the Committee on Foreign Investment in the United States (CFIUS), until after the transaction team investigated the property sale following a public tip. CFIUS is responsible for reviewing the national security implications of foreign investments. The incident underscores the ongoing global hegemonic rivalry between the US and China, the world’s two largest economies by nominal GDP since 2023.
Trade War and Crypto Mining
As the 2024 presidential election race heats up, the US trade fight with China is increasingly becoming a focal point. Both President Biden and former President Donald Trump are calling for more trade restrictions on China, while Beijing is imposing new levies on some US imports. Despite crypto mining being legal in the US, many authorities have expressed opposition due to its extensive energy use and environmental impact.
Conclusion
The blocking of MineOne’s operations near a strategic missile base in Wyoming highlights the escalating tensions between the US and China in the crypto mining sector. As the 2024 presidential race approaches, the issue of crypto mining and its associated security and environmental concerns is likely to remain a contentious topic.