- U.S. authorities have begun releasing some seized Chinese-made cryptocurrency mining machines, though most remain in custody.
- The seizures, which began with Bitmain products and later expanded to include MicroBT and Canaan hardware, have created significant challenges for U.S.-based miners.
- Up to 10,000 mining machines valued at over $5 million were detained at U.S. ports amid broader concerns about Chinese technology in sensitive sectors.
U.S. federal authorities have started releasing a portion of the thousands of Chinese-manufactured cryptocurrency mining machines seized at ports across the country, according to a Reuters report published Wednesday. The majority of the equipment, however, remains in government custody.
The U.S. Customs and Border Protection Agency initiated the seizures months ago at the request of the Federal Communications Commission, citing the need to enforce existing regulations. The actions have significantly disrupted supply chains for American mining operations that depend on regular hardware upgrades.
The enforcement coincides with escalating U.S.-China trade tensions that began during President Donald Trump‘s administration, when he implemented tariffs on Chinese imports and other countries. These seizures align with guidelines from the U.S. Department of Commerce’s Bureau of Industry and Security, which regulates “advanced semiconductors” typically used in AI and cryptocurrency mining to prevent diversion of these resources toward Chinese interests.
Industry publication Blockspace first reported in November 2023 that authorities initially targeted models from Bitmain, a private Chinese manufacturer. By February, the scope had expanded to include products from MicroBT and Canaan.
Some of the detained mining hardware reportedly contained AI chips from Sophgo, a Chinese company subject to U.S. trade restrictions, according to a Blockspace report.
Before the recent releases began, approximately 10,000 mining machines were stranded at various U.S. entry points. Affected retailers claim their seized equipment is valued at over $5 million. The hardware was classified as “seized and subject to forfeiture” under U.S. legal codes that grant authorities discretionary power over products deemed subject to restriction or prohibition.
The seizures have created substantial operational challenges for U.S.-based cryptocurrency miners who depend on regular equipment upgrades to maintain competitiveness in the global mining landscape.
According to data from Hashrate Index, the United States accounts for 43.8% of the Bitcoin network hashrate—the computational power dedicated to mining—making it the second-largest contributor by country after China’s 45.8%. Hashrate is a critical metric that measures the processing capacity of the Bitcoin network and determines miners’ ability to validate transactions and earn rewards.
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