Security Concerns Lead to Presidential Order
President Joe Biden has issued an order blocking MineOne, a majority Chinese-backed crypto mining firm, from owning land near a strategic nuclear missile base in Wyoming due to security concerns.
In an announcement, the White House revealed that
MineOne Partners Limited, a British Virgin Islands company, is majority-owned by Chinese nationals
. The firm’s location within close proximity to the Francis E. Warren Air Force Base raised national security alarms.
A divestment order was approved, resulting in the shutdown of MineOne’s operations near Cheyenne, Wyoming. The U.S. government pointed out that the presence of foreign-owned equipment at the site posed a risk of surveillance and espionage activities, necessitating the ownership block.
CFIUS Involvement and U.S.-China Relations
The sale of the property to MineOne was not initially reported to the Committee on Foreign Investment in the United States (CFIUS). It was only after a public tip that the transaction came under scrutiny, highlighting concerns about foreign investments.
Against the backdrop of a global power rivalry between the U.S. and China, the issue takes on added significance. Both countries are key players in the world economy, with tensions escalating as trade disputes intensify.
Recent developments in the 2024 presidential election campaign have portrayed the U.S.-China trade conflict as a prominent issue. Top officials from both nations have engaged in talks, reflecting the ongoing debate surrounding trade restrictions and imports.
While cryptocurrency mining remains legal in the U.S., concerns regarding its energy consumption and environmental impact have led to calls for stricter regulations from various authorities.
