Thousands of Bitcoin mining machines had been reportedly seized as US ports of entry since as early as September, but there\u2019s been conflicting information surrounding why. <\/p>\n
<\/span> 16211 <\/span> Total views <\/span><\/p>\n 7 <\/span> Total shares <\/span><\/p>\n<\/div>\n US Customs and Border Protection (CBP) authorities may have mistakenly seized thousands of Bitcoin miners under the impression that they were illegally imported radio frequency devices.<\/p>\n Thousands of Chinese-made Bitcoin (BTC<\/a>) miners had reportedly been seized at US ports of entry since around September and only began being released<\/a> again as of a few weeks ago.\u00a0\u00a0<\/p>\n The CBP\u2019s move to seize the Bitcoin miners came at the request of the US Federal Communications Commission Agency, industry players have said.<\/p>\n However, Bitcoin mining firm Luxor Technology\u2019s chief operating officer, Ethan Vera, told Cointelegraph that the FCC\u2019s request was made under the mistaken belief that the Bitcoin miners were radio frequency devices.<\/p>\n \u201cWe believe the CBP and\/or FCC mistakenly classified Bitcoin mining ASICs as radio frequency devices, despite clear evidence to the contrary.\u201d<\/p><\/blockquote>\n Vera said Luxor saw the radio frequency device \u201ccall out\u201d in letters it received from the CBP.<\/p>\n Any device shipped into the US that carries a radio frequency must be disclosed<\/a> via an FCC 740 form. However, Vera said Bitcoin mining machines aren\u2019t designed to send out radio frequency signals.<\/p>\n \u201cRadio Frequency Equipment are devices designed to transmit, receive, or manipulate radio waves. ASICs process electrical signals but do not intentionally generate or transmit radio frequency signals,\u201d said Vera.\u00a0<\/p>\n \u201cThey are mistaken.\u201d<\/p><\/blockquote>\n Cointelegraph reached out to CBP for comment but didn\u2019t receive an immediate response.<\/p>\n The holdup was initially understood to be related to Bitmain-related chip designer Sophgo, which was caught up in a US Department of Commerce investigation<\/a> in October after chips like the ones it ordered in Taiwan were found in a Huawei AI processor. Huawei has been under US sanctions since 2019.<\/p>\n Industry players aren\u2019t sure what the political motivations<\/a> behind the seizures were or how long the situation will persist, Vera noted.<\/p>\n He added that some Bitcoin mining firms have rallied behind lobbyist groups to seek a detailed explanation of the events and to determine the best path forward.<\/p>\n Related:<\/strong><\/em> Bitcoin miners languish amid crypto market rout \u2014 JPMorgan<\/strong><\/em><\/a><\/p>\n The release of the Chinese-made Bitcoin miners<\/a> comes as the Trump administration imposed a 10% tariff on Chinese imports.<\/a><\/p>\n Head analyst Mitchell Askew of Bitcoin infrastructure firm Blockware Solutions said the tariffs could drive a similar dynamic to what happened in 2021, where Bitcoin application-specific integrated circuit<\/a> (ASIC) miner prices soared.<\/p>\n \u201cYou had the BTC Bull Market as a positive catalyst for ASIC demand, at the same time as the Covid Supply Chain shock, which was a negative supply catalyst \u2014 the combination of the factors resulted in ASIC prices more than 10x’ing within a 12-month period.\u201d<\/p><\/blockquote>\n Vera, however, doesn\u2019t anticipate \u201csignificant disruptions\u201d to the ASIC supply chain, pointing out that many Bitcoin miners imported into the US come from Southeast Asia, not China.<\/p>\n \u201cHowever, a broader trade war could have secondary effects, further incentivizing manufacturers to expand onshore assembly capabilities.\u201d<\/p><\/blockquote>\n Magazine:<\/strong><\/em> Bitcoin miners steamrolled after electricity thefts, exchange \u2018closure\u2019 scam: Asia Express<\/strong><\/em><\/a><\/p>\n<\/picture><\/div>\n