Tornado Cash says it's using Chainalysis oracles to block access from OPAC sanctioned addresses

On Friday, Tornado Cash announced that it was utilizing oracle contracts from Chainalysis to artifact wallet addresses sanctioned by the U.S. Office of Foreign Assets Control, oregon OFAC. The determination comes aft the U.S. Department of the Treasury linked North Korean cyber-criminal Lazarus Group arsenic an alleged perpetrator for the caller $600 million+ Ronin span exploit. As told by blockchain analytics steadfast Elliptic, the hackers person sent astir $80.3 cardinal worthy of Ether (ETH) done Tornado Cash. "Maintaining fiscal privateness is indispensable to preserving our freedom; however, it should not travel astatine the outgo of non-compliance," said the Tornado Cash team. 

Tornado Cash is simply a fashionable cryptocurrency substance utilized to obfuscate the way of transactions for privacy. The Chainalysis Sanctions Oracle tin validate if a cryptocurrency wallet code has been included successful a sanctions designation from the U.S., E.U., oregon U.N. But Tornado Cash co-founder Roman Semenov aboriginal clarified that the instrumentality lone blocks entree to the decentralized application, oregon DApp, interface and not the underlying the astute contract. 

There person been traces of Tornado Cash successful respective arguable decentralized concern activities. In February's $375 cardinal Wormhole exploit, hackers experimented with Tornado Cash utilizing stolen funds. The aforesaid month, the LooksRare squad besides partially utilized Tornado Cash to cash out implicit $30 cardinal successful crypto. A caller Rare Bears Discord phishing onslaught that nabbed $800k successful NFTs besides progressive hackers funneling the stolen funds done Tornado Cash. Reports besides emerged that funds from a $33 cardinal Crypto.com exploit were being laundered via the DApp. 

However, it appears that Semenov has had capable of the protocol's relation with alleged illicit activities, discussing the imaginable effect of jailhouse clip for non-compliance with regulators successful blocking entree to blacklisted individuals. 

Now bash the "Jailed" database for ones that are not bending backwards to beryllium compliant

— Roman Semenov successful Dubai️ (@semenov_roman_) April 15, 2022