US Lifts Sanctions Against Crypto Mixer Tornado Cash

Summary: The US Department of the Treasury has lifted economic sanctions against the cryptocurrency mixer Tornado Cash, which were imposed in 2022 due to allegations of facilitating money laundering for North Korean hackers. A court ruling deemed the sanctions unlawful, stating that the Treasury cannot regulate open source software. Despite the removal of sanctions, the Treasury maintains its commitment to combatting North Korea’s hacking and money laundering activities.

Affected: Tornado Cash

Keypoints :

• The Treasury sanctioned Tornado Cash in 2022, accusing it of laundering over billion in stolen cryptocurrency.
• A Fifth Circuit Court ruling found the sanctions unlawful, stating smart contract services do not qualify as property under Treasury authority.
• The Treasury expressed ongoing concerns over North Korean cyber activities, even after lifting the sanctions.