US Court Ends Sanctions on Tornado Cash: Legal Drama Unfolds
A US district court has ruled that sanctions imposed on Tornado Cash by the Office of Foreign Assets Control (OFAC) were unlawful. Judge Robert Pitman from the Western District of Texas declared the sanctions invalid, marking a significant victory for the privacy-focused crypto tool. The decision follows OFAC’s removal of Tornado Cash from its sanctions list in March, after an appeals court found the 2022 sanctions overstepped legal authority.
Despite the ruling, the court proceedings revealed lingering uncertainties, suggesting similar regulatory actions could emerge in the future. The case underscores the ongoing tension between privacy advocates and regulators in the cryptocurrency space.