Home Editor's Pick Biden Administration Blocks Chinese-Backed Crypto Mining Near Wyoming Military Base

Biden Administration Blocks Chinese-Backed Crypto Mining Near Wyoming Military Base

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President Joe Biden has taken decisive action to address a potential national security threat posed by a Chinese-backed cryptocurrency mining operation near a critical U.S. military installation.

On May 13, 2024, the White House issued an order prohibiting MineOne Cloud Computing Investment, a company majority-owned by Chinese nationals, from owning land in close proximity to the Francis E. Warren Air Force Base in Cheyenne, Wyoming.

TLDR

President Biden signed an order blocking MineOne Cloud Computing Investment, a China-backed crypto mining firm, from owning land near a nuclear missile base in Wyoming.
The order cites national security concerns, including surveillance risks, due to the proximity to the Francis E. Warren Air Force Base and the use of foreign-sourced equipment.
MineOne acquired the property in June 2022 and made improvements to accommodate a crypto mining operation without proper clearance from the Committee on Foreign Investment in the United States (CFIUS).
The company must divest all ownership interests in the real estate within 120 days and remove all equipment and improvements related to their operations within 90 days.

The order, which cites significant national security concerns, requires MineOne to divest all legal and beneficial ownership interests in the real estate within 120 days and remove all equipment and improvements related to their cryptocurrency mining operations within 90 days.

The decision comes after the Committee on Foreign Investment in the United States (CFIUS) identified potential risks associated with the transaction following a public tip.

MineOne acquired the property, located just one mile from the strategic missile base, in June 2022 without filing proper paperwork with CFIUS.

The company subsequently developed the land to accommodate specialized cryptocurrency mining operations, raising concerns about the use of foreign-sourced equipment and the potential for surveillance and espionage activities.

The Francis E. Warren Air Force Base is a critical military installation housing Minuteman III nuclear missiles, making the proximity of the Chinese-backed crypto mining operation a significant cause for concern.

The Biden administration’s order underscores the government’s commitment to protecting national security interests and the role of CFIUS in ensuring that foreign investments do not undermine the safety and security of sensitive U.S. military installations.

In addition to the divestment and removal requirements, MineOne and its affiliates are prohibited from accessing the real estate, equipment, or improvements until the process is completed to CFIUS’s satisfaction.

The company is required to cooperate fully with CFIUS, providing regular updates on compliance efforts and timelines for completing the necessary actions.

The order also authorizes the U.S. Attorney General to take any steps necessary to enforce compliance, and any attempt to evade or circumvent the order is strictly prohibited.

Failure to adhere to these requirements may result in further enforcement measures and penalties for MineOne and its affiliates.

The post Biden Administration Blocks Chinese-Backed Crypto Mining Near Wyoming Military Base appeared first on Blockonomi.

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