Eighth Circuit Hears Arkansas Appeal Over Crypto Mining Ownership Law

The Eighth Circuit heard Arkansas’ appeal over a law restricting foreign ownership of crypto-mining businesses on Oct. 20, as reported U.K. bank restrictions and Swiss fund approval show other points where access can be shaped.

Act 174 bars a “prohibited foreign party” from holding an ownership interest greater than 0% in a digital-asset mining business. The law is part of a wider package that includes Oil and Gas Commission Rule K.

U.S. District Judge Kristine Baker’s April 29, 2025, order blocks Arkansas officials from enforcing any provision of Act 174 or Rule K until further court order. At the preliminary-injunction stage, the court found the Arkansas Cryptomining Association likely to prevail on its federal-preemption claim. That was not a final decision on the law’s constitutionality. The preliminary injunction was the subject of the state’s appeal.

During oral arguments, U.S. Circuit Judge James Loken said, “You’re saying, ‘we asked for a slice of bread, and the district court gave us the full loaf.’” The hearing ended without an announced ruling.

In the United Kingdom, Stand With Crypto UK said its online tool received 10,092 complaints from 9,803 people during a 90-day period it placed between May and August 2026. The complaints concerned reported restrictions on transfers to platforms registered with the Financial Conduct Authority (FCA). They are campaign-tool submissions, not a confirmed tally of rejected transfers. The campaign also said nine of the country’s 10 largest retail banks block or limit crypto-related transactions.

NatWest says it may block or limit payments it identifies as going to crypto exchanges to reduce fraud risk.

The Swiss Financial Market Supervisory Authority (FINMA) approved the country’s first exchange-traded retail fund investing directly in Bitcoin (BTC) on Oct. 20. FINMA classified the product as an “other fund for alternative investments” with specific risk and said Bitcoin investments remain highly risky even through an approved fund. BIT Asset Management identified the product as the Bitcoin Fund ETF, ticker BBIT, and said it expects trading to begin on SIX Swiss Exchange in November.

The developments involve different routes into crypto: ownership of mining businesses, transfers from bank accounts to platforms and investment through a regulated fund.