Biden Bars Crypto Mining Firm from Operating Near Nuclear Base

United States President Joe Biden has signed an executive order compelling Chinese-linked crypto mining firm MineOne Cloud Computing Investment and its partners to divest their property near the Francis E. Warren Air Force Base in Wyoming. Citing national security concerns, the order prohibits the firm's continued use of the land for crypto mining and requires the removal of all associated equipment. The divestment order is part of the Biden Administration's ongoing efforts to address potential threats to national security posed by Chinese entities, particularly in critical infrastructure sectors like nuclear facilities.

U.S. President Biden Precludes Crypto Mining Firm from Operating Near Nuclear Missile Base

Washington, D.C., May 15, 2023 - In a significant move to safeguard national security, President Joe Biden has issued an executive order mandating the divestment of property near a nuclear missile base to a China-linked crypto mining firm.

National Security Concerns Prompt Presidential Action

The presidential order, released by the White House on May 13, compels MineOne Cloud Computing Investment, a British Virgin Islands entity with substantial Chinese ownership, and its affiliates to relinquish ownership of their crypto mining facility adjacent to the Francis E. Warren Air Force Base in Cheyenne, Wyoming.

President Biden's order cites credible evidence suggesting that the firm's operations could pose a threat to the national security of the United States. The document specifically states that, "There is credible evidence that leads me to believe that MineOne Partners Limited...might take action that threatens to impair the national security of the United States."

Proximity to Strategic Military Installation Raises Concerns

MineOne acquired the property in June 2022 and subsequently modified it for crypto mining activities. The affected site is located less than a mile from the Air Force base, which houses intercontinental ballistic missiles. This proximity raised security concerns for the U.S. government.

Removal of Equipment, Prohibition of Access Ordered

The executive order mandates MineOne and its affiliates to remove all equipment installed after the improvements to the property. Moreover, the order prohibits any further access to the site by Chinese-linked entities.

Microsoft Report Highlights Potential Intelligence Threat

In August 2022, tech giant Microsoft, which operates a data center near the MineOne site, submitted a report to the Committee on Foreign Investment in the U.S. (CFIUS) raising concerns about the firm's proximity to the military base. According to a 2023 investigation by The New York Times, Microsoft's report highlighted the potential for "full-spectrum intelligence collection operations" by the Chinese government.

CFIUS and National Security Safeguards

Treasury Secretary Janet Yellen, who chairs CFIUS, emphasized the critical role of the committee in ensuring that foreign investments do not compromise national security. She stated, "The order to force MineOne to sell the land highlights the critical gatekeeper role that CFIUS serves to ensure that foreign investment does not undermine our national security."

MineOne's Response and Previous Orders

Despite attempts by Cointelegraph to reach MineOne for comment, no immediate response was received.

The Biden administration's order is not the first instance of government action against crypto mining. The administration has previously cracked down on the U.S. Bitcoin mining industry, citing China as an example to follow in its ongoing effort to regulate cryptocurrencies.

China has significantly curtailed crypto mining within its borders in 2021, leading to an exodus of mining operations, many of which relocated to the United States.

Escalating Trade Tensions

The White House order comes shortly before the Biden administration is poised to implement increased tariffs on various Chinese imports, including electric vehicles. This move further underscores the escalating trade tensions between the United States and China.