Originally published on: November 27, 2024
In a recent legal battle in Arkansas, a US federal judge came to the aid of a naturalized Chinese-American citizen who was facing obstacles in operating a cryptocurrency mining business. The Chief US District Judge Kristine Baker issued a temporary restraining order that prevented Arkansas State officials from interfering with the operations of Jones Eagle, a crypto mining firm based in the state.
The lawsuit was triggered by two state laws aimed at restricting businesses and property ownership linked to Chinese nationals. Act 636 of 2023 and Act 174 of 2024 specifically targeted companies and individuals with ties to the Chinese government, as well as the ownership of digital asset mining operations by foreign entities.
The state accused the owner of Jones Eagle, Qimin “Jimmy” Chen, of being a Chinese national and demanded the shutdown of the mining operation. However, Chen, a naturalized US citizen residing in New York, contested the allegations of discrimination based on his national origin.
Court documents revealed that Chen holds a majority stake in the mining firm through Eagle Asset Holding. The temporary restraining order will be in effect for 14 days, during which a court hearing will take place to consider extending the order and preventing Arkansas from taking further action against Chen.
Chen’s lawyer, Alex Jones, emphasized that his client had provided evidence to the attorney general to prove compliance with regulations and had attempted to clarify his citizenship status with state authorities, but was met with resistance.
The case sheds light on the complexities surrounding ownership and operational regulations in the crypto mining industry, especially when it involves individuals with international backgrounds. Stay tuned for updates on this intriguing legal battle and its implications for the crypto sector.
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