Block Research: Tornado Cash deposits down by 79% after US sanctions
The amount of cryptocurrency in the protocol decreased by 15%
12.08.2022 - 06:45
264
1 min
0
What’s new? Amid US sanctions, cryptocurrency mixing service Tornado Cash saw a sharp outflow of users and a 79% decrease in deposits compared to the previous week. According to The Block Research, only $6 million has been deposited and $62 million has been withdrawn since the restrictions were imposed. This reduced the amount of cryptocurrency stored in the service by 15%.
How did events develop? On August 8, the US Office of Foreign Assets Control (OFAC) put Tornado Cash on the sanctions list, which means a complete ban on the use of the service in the States. Following the blocking, it was removed from the GitHub hosting service, and Circle, the issuer of the USDC stablecoin, froze more than 75 000 coins associated with the mixer’s sanctioned addresses.
The dYdX exchange also started blocking Tornado Cash-related accounts. There have already been cases of mistakenly blocked accounts, whose owners may not have been aware of the origin of the funds, which were subsequently restored.
For more details on the experts’ opinions on the dangers of interacting with sanctioned services such as Tornado Cash, see GetBlock Magazine’s article.
Useful material?
Market
Tether Finance division will be responsible for the issuance and redemption of USDT stablecoins
Apr 18, 2024
Trends
The first project introduced on the platform will be BounceBit (BB)
Apr 18, 2024
Business
The rate exchange of the native ACH token reacted with a 10% increase
Apr 18, 2024
Market
Miners are hunting for the first block after halving as the value of the first satoshi could exceed $1 million
Apr 18, 2024
Market
The platform will be non-custodial and accessible to everyone
Apr 15, 2024
Market
China Asset Management, Harvest Global Investments, and Bosera Asset Management have received permits
Apr 15, 2024