Trump Administration May Take a Different Approach to ”Tornado Cash” Sanctions

The U.S. Treasury Department under President Donald Trump has suspended operations against Tornado Cash, a cryptocurrency mixing service.
Cointelegraph reported on the 27th (local time) that the developers of Tornado Cash are currently facing criminal charges,
A civil lawsuit is underway against the U.S. Treasury Department over sanctions on cryptocurrency mixers. On the 26th of last month, the U.S. Fifth Circuit Court of Appeals ruled that the Office of Foreign Assets Control (OFAC) will sanction cryptocurrency mixers in 2022.
The Treasury Department has ruled that TornadoCash exceeded its legal authority by sanctioning some of its immutable smart contracts.
The six plaintiffs, backed by SE, argue that new policy changes could come into effect in 2025 and beyond that could affect how courts handle addresses linked to cryptocurrency mixers.
"We believe that the tech giant is committed to protecting the privacy of its users," said Bill Gates, senior advisor and global regulatory director at Consensys.
"OFAC still has no interest in any entities linked to TornadoCash," Hughes said in an interview with Cointelegraph.
"However, the November 26 ruling means that the case will likely be sent back to the lower courts and lawyers will likely resubmit a motion for summary judgment.
"The process will take several months," he said. When Donald Trump takes office in 2025, the U.S. Treasury Department will adjust its sanctions regime based on the ruling or continue to appeal.
"I think there's a good chance that this opinion will be adopted as Treasury policy under the Trump administration," Hughes said.