US Releases Seized Chinese Crypto Miners Amid Ongoing Trade Tensions and Security Concerns

March 5, 2025
US Releases Seized Chinese Crypto Miners Amid Ongoing Trade Tensions and Security Concerns
  • U.S. authorities have begun releasing some of the thousands of seized cryptocurrency mining machines made in China, although a significant number remain in custody as of early March 2025.

  • Taras Kulyk, CEO of Synteq Digital, reported that approximately 10,000 miners were initially detained at various U.S. ports, with thousands now being released.

  • Despite the releases, Ethan Vera, COO of Luxor Technology, indicated that the majority of shipments are still on hold, with only a minority cleared for return.

  • The U.S. Customs and Border Protection (CBP) has been releasing these Chinese-made crypto miners after months of delays, responding to concerns raised by the Federal Communications Commission (FCC).

  • The seizures began in late 2022, driven by concerns over equipment from the Chinese company Sophgo, which has faced scrutiny due to its ties to trade-restricted technology.

  • These detentions were reportedly influenced by U.S. officials' disapproval of Bitcoin mining and the ongoing tensions between the U.S. and China regarding semiconductor technology.

  • This crackdown on mining equipment is part of the broader trade tensions between the U.S. and China, exacerbated by security concerns raised during the Biden administration.

  • The enforcement actions align with the U.S. government's efforts to impose stricter restrictions on Chinese imports, a trend that began during the Trump administration.

  • China remains a dominant player in the crypto mining industry, producing 98% of all chips used, with Bitmain being the largest manufacturer and expanding its U.S. production capabilities.

  • One company reported incurring over $200,000 in holding fees for 200 ASICs awaiting release, highlighting the financial impact of the seizures on U.S.-based miners.

  • Concerns about potential radio frequency emissions from the mining rigs were cited as a reason for the detentions, though industry leaders argue these claims are unfounded.

  • The CBP's actions to seize the equipment were taken at the request of the FCC, which sought to enforce regulations regarding the importation of potentially non-compliant technology.

Summary based on 5 sources


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