Thank you for your service!
The article makes it clear she joined the armed forces after postponing her transition to male appearance. It seems to me that the military makes decisions about accepting enlistments, training and assignments based on physical characteristics of the recruit, especially the sex of the recruit. Therefore, it seems this soldier is guilty of material misrepresentation about her willingness to serve as recruited and assigned. On that basis alone, she should be dishonorably discharged.