US Authorities Easing Sanctions vs Crypto Mixer

After heavy public criticism US authorities are easing their sanctions against crypto mixer Tornado Cash

Contents hide

1 After heavy public criticism US authorities are easing their sanctions against crypto mixer Tornado Cash

New US Treasury Department guidelines allow legal users of crypto mixer Tornado Cash to get their funds back from the platform.

14. September 2022, 10:2914. September 2022
|
Reading time: 2 minutes

The US Treasury Department releases new guidance on its controversial Tornado Cash sanctions. Cryptobriefing reports.
Legal users in the US can now apply for a license from OFAC – an arm of the Treasury Department – to withdraw their funds from the platform.
In addition, it is not forbidden to interact with the open source code. This means that users can copy it, share it and incorporate it into publications. Visiting the website is also not prohibited.
OFAC sanctioned Tornado Cash on August 8, 2022. All user funds were frozen and use made illegal.
The accusation: The platform is mainly used by North Korean and Russian hacker groups for money laundering. All facts and background information here.
The case caused an uproar in the industry. Many key crypto figures complied with the sanctions but publicly criticized the decision harshly, including the CEO of Circle, the second largest stablecoin.
The sanction is an attack on the right to privacy in Web3.0 and a unique historical decision, according to the criticism. No smart contract had ever been banned before.
The founder of the platform was arrested a little later in the Netherlands. According to rumors, he is said to have worked with Russian secret services.
Coinbase recently even supported lawsuits against OFAC by affected victims.

Read This Now: Helium and T-Mobile launch 5G mobile service

Do you want to buy cryptocurrencies?

Trade the most popular cryptocurrencies like Bitcoin and Ethereum with leverage on Plus500, the leading CFD trading platform (77 percent of retail accounts lose money with the provider).

To the provider

Affiliate-Links

This post contains affiliate links that help us to continue to offer our journalistic content free of charge. If you make a purchase through one of these links, BTC-ECHO will receive a commission. Editorial decisions are not influenced by this.

The latest issues of BTC-ECHO Magazine