In a recent bitcoin-mines-china-united-states.html” target=”_blank” rel=”noopener nofollow”>reportThe New York Times has uncovered alleged national security concerns surrounding Chinese-owned bitcoin (btc). mining operations on American soil.
The focus is on a crypto mining facility in Cheyenne, Wyoming, which raised alarm bells due to its proximity to a Microsoft data center supporting the Pentagon and an Air Force base responsible for nuclear-armed intercontinental ballistic missiles.
Growing presence of Chinese bitcoin mines in the US
According to the report, Microsoft The national security threat assessment team expressed deep concern about the potential for “full-spectrum intelligence gathering operations” that the Chinese company could conduct in such a strategic location.
Following Microsoft’s warning, US government officials anonymously said they had been monitoring the Wyoming mining operation for months.
Steps were taken to mitigate potential intelligence gathering, but no details were provided. The mining company collaborated with the investigations of the federal investment committee.
This Wyoming case sheds light on a broader trend of increasing Chinese bitcoin mines across the United States, causing concern and raising additional security concerns.
Beyond concerns about intelligence gathering, these mining operations, which consist of large warehouses or containers packed with specialized computers, put significant pressure on power grids.
Mining computers run continuously and consume large amounts of electricity while “mining” digital currencies, particularly bitcoin.
Brian Harrell, former undersecretary for infrastructure protection at the Department of Homeland Security, warned that if these mines collaborated to wreak havoc, they could place “enormous stress” on the network, potentially leading to targeted outages or cyberattacks.
Harrell emphasized that any chinese infrastructure The impact on key energy systems should prompt further research and scrutiny.
The New York Times investigation identified Chinese-owned or operated bitcoin mines in at least 12 states, including Arkansas, Ohio, Oklahoma, Tennessee, Texas and Wyoming.
Collectively, these mines consume so much energy like 1.5 million homes. When operating at full capacity, the Cheyenne, Wyoming, mine alone requires enough electricity to power 55,000 homes.
Controversy surrounds Bitmain
Many of these mining facilities use computers manufactured by Bitmaina Chinese company with no apparent direct connection to Chinese authorities.
However, import records indicate that Bitmain has sent shipments to the United States through a subsidiary at a Communist Party site in southern China.
from China forbidden Mining bitcoin in May 2021 due to concerns over energy use and economic destabilization, Bitmain has increased its equipment shipments to the United States fifteen-fold compared to the previous five years.
According to the New York Times, the company claims to control 90 percent of the global bitcoin mining equipment market.
Overall, according to the report, the rise of Chinese-owned bitcoin mining operations in the United States has raised significant national security and energy infrastructure concerns for US authorities.
At the time of writing, the price of btc stands at $26,700. Over the past seven days, the market’s largest cryptocurrency has seen sideways price movement following the loss of the crucial $27,000 psychological level for bullish investors. During this period, btc recorded a drop of 3.4%.
Featured image from Shutterstock, chart from TradingView.com
