Biden Axes Chinese Crypto Miner Near Missile Base

President Joe Biden has issued an order barring a crypto mining company with ties to China from utilizing land near a nuclear missile base in Wyoming. The order, issued on May 13 by the White House, requires MineOne Cloud Computing Investment and its associates to divest the property used for crypto mining near the Francis E. Warren Air Force Base. Concerns about national security prompted Biden’s decision, as there is credible evidence suggesting that MineOne Partners Limited, majority-owned by Chinese nationals, could pose a threat to U.S. national security.

MineOne acquired the property in 2022 and developed it for crypto mining purposes close to the Air Force base, which houses intercontinental ballistic missiles. The order mandates the removal of all mining equipment from the site and prohibits further access by Chinese-linked entities within a mile of the base. The company has 120 days to sell the property and is restricted from transferring it to third parties. Microsoft, a major IT company with a data center nearby, has previously expressed concerns about this specific location.

CFIUS Concerns Prompt Mandate on MineOne’s Land Sale

The Microsoft team stated in an August 2022 report to the Committee on Foreign Investment in the U.S. (CFIUS) that the location may enable the Chinese to “pursue full-spectrum intelligence collection operations,” as per a 2023 New York Times investigation.

The committee head and U.S. Treasury Secretary Janet Yellen stated that the mandate forcing MineOne to sell the land “highlights the critical gatekeeper role that CFIUS serves to ensure that foreign investment does not undermine our national security.”

In less than a month in 2021, MineOne raised almost $20 million for its inaugural fund. According to the release, U.S. institutional investors and high-net-worth individuals have “actively subscribed” to the fund since its introduction in October 2021.

Biden Escalates Crypto Crackdown Amid Chinese Concerns

MineOne contacted by Cointelegraph for comments, but they did not respond right away. As part of its ongoing war on cryptocurrency, the Biden administration has previously urged a crackdown on the Bitcoin mining business in the United States, citing China as a model to emulate. 

The Chinese government severely restricted cryptocurrency mining in 2021, which led to a mining industry migration, with many of these companies ending up in the United States. Just one day before the Biden administration is about to impose steep tariffs on several Chinese imports, including electric cars, the White House issued its most recent order.