Appeals Court Dismisses Tornado Cash Sanctions Challenge

The Eleventh Circuit Court of Appeals approved a joint motion to dismiss Coin Center's appeal against Tornado Cash sanctions, marking a significant development in crypto regulatory clarity. The Treasury Department's voluntary removal of sanctions in March rendered the case moot, signaling a shift in government stance toward cryptocurrency.

This decision follows a Western Texas court ruling earlier this year that declared the sanctions unlawful. The judicial pressure appears to have influenced the government's position, creating a favorable precedent for crypto privacy tools.

The resolution concludes years of legal battles, with both parties acknowledging the changing landscape. 'The government's view is that OFAC's rescission of the designation moots this appeal,' stated the joint filing, highlighting the evolving regulatory environment for decentralized technologies.