The US government has agreed to drop the coincenter’s appeal regarding tornado cash, which guarantees future protection from sanctions. The platform’s broken assets skyrocketed after the announcement.
Still, it’s a bit unclear what the next step for the platform will be. Even if distributed software remains operational, some of its leaders face an ongoing legal battle.
Tornado Cash Sanctions Protection
A popular decentralized crypto mixer, Tornado Cash has been engaged in a variety of legal battles for several years. The DOJ is still actively prosecuting co-founder Rome Storm, but blocking a string of proposed trial witnesses, the company has now won a breakthrough today. After the exchange, the US government has dropped the appeal against the company.
Coincenter, a blockchain advocacy group, is suing the US Treasury Department on behalf of tornado cash. The Treasury has imposed sanctions on platforms that are said to support North Korea’s hacking efforts, but the political situation of crypto has changed. These sanctions were removed in November and have since become the centre of an ongoing conflict.
The heart of the issue takes into account the Texas District Court’s ruling on tornado cash sanctions, according to a Bloomberg Act report. Essentially, coin centers were legally set up, ensuring that the US government could not sanction sanctions again using the same pretext.
After all, Crypto enjoys good moments, but good fortune is whim. Watchdog has already raised warnings that the US can sanction cash on tornadoes again, prompting a coincenter lawsuit. Its objectives have been successful, with a torn assets rising above 4% today, in addition to short spikes.
Nevertheless, it is a bit unclear where the tornado cash will go from here. The platform is still up and running, but some of its major leaders face an ongoing legal battle. It’s a very good indication that US sanctions won’t return in the near future, but the platform has a long way to go to restore its previous position.
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