US court halts Arkansas ban on Chinese-owned crypto mining

The case could set a precedent for business rights in the US amidst growing scrutiny of companies linked to China.

A court has upheld California’s ban on addictive feeds for minors, enforcing new rules for tech companies.

A federal judge in Little Rock, Arkansas, has temporarily blocked state officials from shutting down a cryptocurrency mining firm owned by a naturalised US citizen of Chinese descent. The company, Jones Eagle, was targeted under Arkansas laws prohibiting property and business ownership by Chinese nationals or entities, despite its owner, Qimin ‘Jimmy’ Chen, holding US citizenship.

The court’s restraining order, issued by Chief Judge Kristine Baker, stops Arkansas from taking immediate action against Chen’s business. Chen argued the state’s actions were discriminatory, as he had previously provided documentation confirming his US citizenship and compliance with local laws. The state’s case relied on Acts 636 and 174, which restrict property ownership by individuals linked to China and foreign digital asset miners.

The restraining order is in effect for 14 days, allowing time for a hearing to decide whether it will be extended. Chen’s legal team intends to challenge the constitutionality of the laws, describing them as overreaching and discriminatory. The outcome could have broader implications for property and business rights in the US amidst growing scrutiny of enterprises linked to China.