U.S. Democrats urge probe into Bitmain, citing “national security threat from Bitcoin mining rigs”

U.S. Democrats have raised national security concerns about China-linked Bitcoin mining equipment maker Bitmain and are urging a government response.

According to Bloomberg on the 27th (local time), Democratic Sen. Elizabeth Warren sent a letter on the 20th to Commerce Secretary Howard Lutnick requesting materials on the status of any Bitmain-related investigation and potential response measures.

Last year, U.S. authorities reportedly examined, under an investigation dubbed “Operation Red Sunset,” whether Bitmain equipment could be used for espionage or to disrupt the power grid via remote control.

The probe began under the previous Joe Biden administration and was reportedly led by the Department of Homeland Security (DHS). However, the current status of the investigation has not been disclosed. As national security investigations can remain nonpublic for years, specific results have not been confirmed.

Bitmain has categorically denied the allegations. The company said the reports are “largely inconsistent with the facts and false,” adding that it “strictly complies with U.S. and relevant laws and has never engaged in any conduct that threatens national security.”

Still, concerns over Bitmain equipment in the U.S. have persisted. In May 2024, the use of such equipment at a mining facility near a military base was flagged as a “significant security risk.” A July report by the Senate Select Committee on Intelligence also assessed that “there is a possibility of tampering with equipment from China and multiple vulnerabilities exist.”