THE LAGOS STATE WASTEWATER MANAGEMENT OFFICE (LSWMO), YESTERDAY, SEALED OFF SOME BUILDINGS/PROPERTIES ACROSS THE STATE OVER DIFFERENT ENVIRONMENTAL INFRACTIONS.(PHOTO). #PRESS RELEASE
Homeland Security reportedly investigates Bitcoin mining giant Bitmain over national security concerns
Federal authorities are reportedly investigating Beijing-based bitcoin mining hardware giant Bitmain over national security concerns, according to a Bloomberg report. The Department of Homeland Security is said to be running a secret probe, code-named “Operation Red Sunset,” examining imported Bitmain machines at U.S. ports for potential backdoors or remote-access capabilities that could be exploited for espionage or even disruption of critical infrastructure like the electrical grid.
The concern centers on Bitmain’s application-specific integrated circuit (ASIC) miners, which are often deployed in large data centers near energy hubs, some close to military sites. Investigators worry these machines could theoretically be manipulated to monitor sensitive locations or trigger widespread power disruptions. The scrutiny follows prior warnings, including a 2024 federal block on a Bitmain-powered mining site near a Wyoming nuclear missile base and a bipartisan Senate Intelligence Committee alert about potential vulnerabilities in the company’s equipment. Bitmain has denied any wrongdoing, claiming its Antminer rigs cannot be controlled remotely and that it has no knowledge of the so-called “Operation Red Sunset.”
The investigation also intersects with the Trump family’s involvement in cryptocurrency. Eric and Donald Trump Jr. operate a mining company called American Bitcoin, which recently purchased 16,000 Bitmain devices in a $314 million deal. While the venture appears focused on straightforward bitcoin mining, the use of Bitmain hardware could draw extra scrutiny amid national security concerns.
Bitmain has faced similar controversies before. During the 2017 Bitcoin scaling debates, the company resisted adopting Segregated Witness (SegWit) to protect a proprietary optimization called covert ASICBOOST, which offered a mining advantage. The company was also criticized for “Antbleed,” firmware in its Antminer rigs that allowed remote shutdowns. Bitmain insisted neither issue involved malicious intent, but both incidents have fueled ongoing concerns about centralized control and hidden functionality in bitcoin mining hardware.
With national security and corporate interests intersecting, the investigation into Bitmain highlights the continuing tension between cryptocurrency innovation and the potential risks posed by foreign-controlled infrastructure in critical digital and energy systems.
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