Wednesday, September 28, 2022

US vows to “aggressively pursue” cryptocurrency mixers

Cryptocurrency mixing service Tornado Cash has been blacklisted by the US Treasury Department since last Monday for alleged use for money laundering. In this regard, Secretary of State Antony Blinken said, the country will continue to “aggressively pursue” cryptocurrency mixers suspected of money laundering.

sanctions imposed by the United States Treasury Department The Ethereum mixer is related to the alleged use of the device by North Korea. The organization claims that it was used to launder money from attacks by the Lazarus Group, a hacker entity sponsored by the Asian country.

The cryptocurrency community is expressing its disapproval On the Secretary of State’s announcement, many expressed concern over whether considered a violation of the right to privacy Access to users and government. They warn that a neutral device that operates autonomously is being approved.

Spanish lawyers around Cryptocurrency Ecosystem Expert Chris Carrascosa Didn’t Take Long feedback to message With a certain irony from Blinken: «The Internet is to blame. Go against it too.” This meant that a device could not be held responsible for misuse by certain users.

US vows to "aggressively pursue" cryptocurrency mixers
Blinken appears to be concerned because, by their nature, cryptocurrency mixers do not perform the Know Your Customer (KYC) checks that are highly required by regulators. Font: @SecBlinken/Twitter

other users respondents The head of American diplomacy, known for exposing the United States’ domestic surveillance and espionage programs, accompanied expressions from Edward Snowden, who often said: “Privacy is an act of freedom.”

any other remember To blink a fact recorded on Wikipedia: “The Ninth Circuit Court of Appeals ruled that the source code Tornado Cache software was protected by the First Amendment And the government regulations preventing its publication were unconstitutional.”

A Declared War on Mixing Cryptocurrencies?

In any case, US institutions are very concerned about the cryptocurrency ecosystem because They continue to debate the framework for regulating crypto assets, But without consensus.

Actually, this is not the first time that US Treasury bans cryptocurrency mixers. In May, the country announced sanctions against North Korean company Blender, which was also accused of helping the Lazarus Group steal cryptocurrency.

Antony Blinken said at the time: “We will continue to address North Korea’s illegal cyber activities as well as violations of UN Security Council resolutions.”

In addition, Treasury Under Secretary for Terrorism and Financial Intelligence Brian Nelson said that Cryptocurrency mixers aiding illegal transactions ‘create a threat’ for the national security interests of the United States.

“We are taking action against illegal financial activities in North Korea, and we will not allow state-sponsored theft and its money-laundering facilitators to go unanswered,” Nelson said.

Nation World News Desk
Nation World News Desk
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