Cryptocurrency mixers, a software that provides anonymity in crypto transactions, are at the forefront of the latest clash between regulators and the emerging world of digital assets, with legal actions, arrests, counter lawsuits, and North Korean hackers all part of the picture. The U.S. Treasury’s Office of Foreign Assets Control (OFAC) slapped sanctions on the Tornado Cash cryptomixer in August. This is based on allegations that since its creation in 2019 the mixer has handled more than $7 billion of cryptocurrency, including from criminal organizations like the North Korean state-backed Lazarus Group. “Despite public assurances otherwise, Tornado Cash has repeatedly failed to impose effective controls designed to stop it from laundering funds for malicious cyber actors on a regular basis and without basic measures to address its risks,“ said Treasury Under Secretary Brian E. Nelson in announcing the sanctions. “Treasury will continue to aggressively pursue actions against mixers that launder virtual currency for criminals and those who assist them.”
Read more : What is the future for cryptocurrency mixers after U.S. sanctions on Tornado Cash?
