News26 August 2022

Tether has not received requests from the U.S. Justice Department to freeze accounts related to Tornado Cash

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This is the reason why Tether continues to service Tornado accounts and essentially spins the entire U.S. financial oversight system on its child-bearing organ.

At the moment, Tether is the emitter of the most popular Stablecoin in the world, USDT. Over the past years, it has been subjected to massive inspections by the highest regulators in the U.S. and beyond. Just imagine the scale of the company.

But surprisingly, it has yet to receive requests from OFAC to freeze accounts related to the Tornado Cash cryptocurrency mixer that the U.S. Department of Justice has sanctioned.

Does this mean that, purely technically, you can use their smart contracts to hide your funds? It turns out that yes. The question also remains open as to whether this is a violation of U.S. sanctions, not just on the part of the user, but also on the part of the company.

If Wednesday's statement by Tether is to be believed, the Office of Foreign Assets Control (OFAC) has not imposed any requirements to freeze secondary market accounts associated with Tornado Cash.

“However, Tether does consider OFAC Sanctions as part of its world-class compliance program,” said Chief Technology Officer Paulo Arduino. So u, buddy, should better don't try to engage in illegal activities, because the situation can change at any moment (and in any other cases, you shouldn't :D).

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