ETH Mixer Tornado Cash Reveals Blocking OFAC Sanctioned Ethereum Addresses via Chainalysis Oracle Contract

According to the project’s authoritative Twitter account, Tornado Cash, the ethereum mixing work that allows participants to shuffle ether, is blocking flagged ethereum addresses listed connected the Office of Foreign Assets Control’s (OFAC) Specially Designated Nationals And Blocked Persons database (SDN). The determination follows the caller OFAC update, that lists the Ronin exploiter’s ethereum address, and further notes that the ether wallet is allegedly associated with the infamous North Korean hackers, Lazarus Group.

Ethereum Mixer Tornado Cash Blocks OFAC Sanctioned Addresses

Tornado Cash announced connected April 15, 2022, that the task is leveraging a Chainalysis oracle to artifact OFAC sanctioned wallets. “Tornado Cash uses [a] Chainalysis oracle declaration to artifact OFAC sanctioned addresses from accessing the dapp,” the authoritative Twitter relationship said connected Friday. “Maintaining fiscal privateness is indispensable to preserving our freedom, however, it should not travel astatine the outgo of non-compliance,” the Tornado Cash Twitter relationship added.

The determination comes aft the U.S. Treasury and OFAC published an update concerning the Ronin span hacker’s ethereum wallet. The ethereum code that was utilized by the Ronin span exploiter is present sanctioned and U.S.-based companies and citizens are banned from transacting with the address. According to the OFAC update, the code is associated with the North Korean hacking enactment known arsenic Lazarus Group. Following the decision, Tornado Cash got a batch of criticism for the move.

“So fto maine get this straight,” 1 idiosyncratic tweeted, “if my code is connected the OFAC sanctioned addresses list, I conscionable request to transportation it to different code and past I tin statesman my wealth laundering.”

The quality besides follows the contention surrounding the claims that the blockchain surveillance and quality company, Chainalysis, deanonymized Wasabi-based Coinjoin transactions. After the deanonymizing claims, Wasabi told the nationalist a blacklist would forestall immoderate UTXOs (unspent transaction outputs) from registering to Coinjoin transfers. The laminitis and creator of Wasabi wallet, Adam Ficsor, told the public: “Blacklisting arrived to Coinjoins. IMO it is simply a large setback to Bitcoin’s fungibility.”

Meanwhile, the changes Tornado Cash added whitethorn beryllium bypassed by not lone simply switching to different ether addresses, but besides by leveraging the declaration without utilizing the Tornado Cash protocol’s frontend. “Don’t interest guys, your favourite hackers volition inactive beryllium capable to lavation the wealth they person stolen from you utilizing the astute declaration directly,” 1 idiosyncratic replied to the Tornado Cash Twitter statement. “This conscionable affects the website frontend, declaration is permissionless.”

What bash you deliberation astir the statements the Tornado Cash squad made connected Friday astir blocking OFAC sanctioned ethereum addresses? Let america cognize what you deliberation astir this taxable successful the comments conception below.

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