Tornado Cash Using Chainalysis Oracles To Block Access From OFAC Sanctioned Addresses

Tornado Cash on Friday announced that it was using oracle contracts from Chainalysis to block wallet addresses sanctioned by the U.S. Office of Foreign Assets Control, or OFAC.

North Korean Hacker Group “Lazarus”

iexclusivenews reports that the move came after the US Treasury Department named North Korean cybercriminal Lazarus Group as a suspect in the recent $600 million+ Ronin Bridge hack.

This online news outlet understands that the hackers delivered $80.3 million worth of Ether (ETH) through Tornado Cash, according to Elliptic, a blockchain analytics business,

The Tornado Cash team stated, “Maintaining financial privacy is crucial to safeguarding our freedom; nevertheless, it should not come at the expense of non-compliance.”

iexclusivenews Nigeria reports that Tornado Cash is a popular cryptocurrency mix that obfuscates transaction trails for privacy.

The Chainalysis Sanctions Oracle can check if a bitcoin wallet address is listed in a sanctions list issued by the US, the European Union, or the UN.

However, Tornado Cash co-founder Roman Semenov later explained that the instrument merely restricts access to the DApp interface. Not the underlying smart contract..

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What You Need To Know Today Tornado Cash

Tornado Cash has been linked to a number of problematic decentralized financing practices.

Hackers experimented using Tornado Cash with stolen assets in February’s $375 million Wormhole breach.

During the same month, the LooksRare team used Tornado Cash to withdraw nearly $30 million in cryptocurrency.

Hackers used Tornado Cash to transmit stolen funds from a recent Rare Bears Discord phishing assault that netted $800,000 in nonfungible tokens (NFTs).

The DApp was also used to launder assets from a $33 million Crypto.com hack, according to reports.

Semenov, on the other hand, appears to be fed up with the protocol’s affiliation with alleged illegal acts.

Blocking access to blacklisted individuals by discussing the potential consequences of jail time for defiance with regulators.