U.S. Customs Crack Down on Mining Equipment
The U.S. Customs and Border Protection (CBP) has taken enforcement actions to seize specialized ASIC devices used for Bitcoin mining. This move follows directives from the Federal Communications Commission (FCC) targeting unauthorized AI chips embedded in these machines.
The crackdown has expanded to devices from manufacturers MicroBT and Canaan, in addition to the previously restricted Antminer S21 and T21 models from Bitmain.
Mining Equipment Seized Due to AI Chip Restrictions
According to reports, CBP held the units due to their use of AI chips from Sophgo, a chip manufacturer currently facing U.S. trade restrictions. This broader review led to the seizure of additional Bitmain units, marking a significant escalation beyond previous enforcement actions in the fall.
📌 One affected company reported losing mining hardware worth $5 million.
📌 On January 10, 2025, CBP sent a notice regarding the seizure of a 'BITMAIN S21 PRO 200TH CRYPTOCURRENCY MINING MACHINE' at San Francisco International Airport.
The notice cited U.S. legal provision 19 USC 1595a(c)(2)(A) as grounds for the seizure, stating that the device functioned as an unauthorized communication device and failed to meet FCC regulatory standards.
U.S. Trade Regulations Disrupt Asian ASIC Manufacturers
Industry sources indicate that nearly all Asian ASIC manufacturers are now facing customs clearance issues in the U.S. Among the most affected is Bitmain, the world’s largest mining hardware producer, controlling roughly 80% of the market.
📌 Following the first wave of Trump-era tariffs in 2018, Bitmain relocated its manufacturing operations outside of China.
📌 Canaan and MicroBT have stronger ties to the U.S. market—Canaan is listed on the Nasdaq, while MicroBT manufactures some products in American facilities.
U.S. regulators have increasingly targeted crypto mining hardware while enforcing trade sanctions and communication regulations. The industry is closely monitoring developments, as these restrictions impact how mining equipment enters and is distributed across the U.S.
Explosion in Malaysia Uncovers Illegal Bitcoin Mining Operation
📌 An explosion in Bandar Puncak Alam, Malaysia, led to the discovery of an illegal Bitcoin mining farm.
Local residents reported smoke and flames coming from a house on Lorong Cekara Purnama, prompting emergency responders. Once the fire was extinguished, investigators uncovered a sophisticated illegal mining setup, including:
✅ Nine Bitcoin mining rigs
✅ Ventilation system
✅ D-Link router
✅ Unauthorized electricity connection
📌 Authorities in Malaysia have been struggling with illegal mining operations, which have contributed to electricity theft and infrastructure strain. This incident further highlights the ongoing challenges regulators face in controlling unlicensed crypto mining activities.
Conclusion
📌 The U.S. government continues to restrict the import of Bitcoin mining ASICs, particularly due to AI chips subject to trade sanctions.
📌 These customs restrictions are heavily impacting Asian manufacturers, including Bitmain, Canaan, and MicroBT.
📌 Malaysia is facing increasing issues with illegal crypto mining, leading to power theft and safety risks.
As global regulations on Bitcoin mining tighten, the availability and distribution of mining hardware may face further limitations in the near future. 🔍🚨
#CryptoRegulation ,
#CryptoMining ,
#BlockchainTechnology ,
#CryptoNewss ,
#BTC Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“