US Congressman urges Treasury to provide further clarity related to Tornado Cash sanctions

U.S. Congressman Tom Emmer has called connected the Treasury Department to clarify issues relating to the authorisation against Tornado Cash.

In a missive sent to the Treasury connected August 23, Emmer noted that sanctions person traditionally lone applied to individuals oregon entities, not open-source bundle similar Tornado Cash.

I sent a missive to Treasury Secretary Yellen regarding the unprecedented sanctioning of Tornado Cash. The increasing adoption of decentralized exertion volition surely rise caller challenges for OFAC. Nonetheless, exertion is neutral and the anticipation of privateness is normal. pic.twitter.com/0aN4a4A6tb

— Tom Emmer (@RepTomEmmer) August 23, 2022

Emmer urged the Treasury to explicate what exertion connected the blockchain is sanctionable. He noted that Tornado Cash is not taxable to Bank Secrecy Acts, fixed that it is an anonymizing bundle and not a supplier of mixing services.

In defence of users affected by the sanction, Emmer asked the Treasury to clarify however users tin entree funds locked successful the mixer. He besides demanded clarity connected however astute contracts tin entreaty cases since they are not ineligible entities oregon individuals.

Looking astatine the dusting onslaught incidence, Emmer asked what the destiny of users who received unsolicited funds would be.

Emmer reiterated that idiosyncratic privateness should beryllium a precedence contempt the request for decentralized exertion regulation.

The increasing adoption of decentralized exertion volition surely rise caller challenges for OFAC. Nonetheless, exertion is neutral, and the anticipation of privateness is normal.

In defence of privacy

The crypto assemblage has thrown its value successful enactment of the Congressman for lasting up for privacy. Bankless Founder Ryan Sean Adams tweeted:

Thank you for lasting up for privateness @RepTomEmmer.

There was a clip erstwhile the anticipation of privateness was the norm not the exception.

We request to reconstruct this state successful America.

— RYAN SΞAN ADAMS – rsa.eth (@RyanSAdams) August 23, 2022

In an earlier interrogation with CryptoSlate, CommerceBlock CEO Nicholas Gregory slammed the U.S. Treasury for sanctions against Tornado Cash. He stated that the determination “makes small sense” since malicious actors tin usage different mixer protocols to conceal their cybercrimes.

The station US Congressman urges Treasury to supply further clarity related to Tornado Cash sanctions appeared archetypal connected CryptoSlate.