The legal battle between Coin Center and the U.S. Treasury has concluded following the removal of sanctions against the crypto service Tornado Cash. This decision has significant implications for the cryptocurrency industry.
Legal Dispute Concluded
The U.S. Court of Appeals for the Eleventh Circuit granted a joint motion to dismiss the case between Coin Center and the Treasury Department. This follows the Treasury’s Office of Foreign Assets Control (OFAC) officially removing Tornado Cash from its sanctions list in March, which the government stated effectively renders the case moot.
"This is the official end to our court battle over the statutory authority behind the TC sanctions," said Coin Center Executive Director Peter Van Valkenburgh.
Sanctions Against Tornado Cash
OFAC first sanctioned Tornado Cash in August 2022, citing its role in facilitating money laundering and prohibiting U.S. individuals and companies from interacting with the tool. This decision sparked a wave of lawsuits from crypto advocacy groups, including Coin Center, which challenged the legal foundation of the sanctions. The appellate court had previously signaled skepticism regarding OFAC’s authority in this context.
Position of Tornado Cash Co-Founder
Tornado Cash co-founder Roman Storm recently spoke out, discussing whether he will testify in his own defense at the upcoming criminal trial. In a video released by *Crypto In America*, he mentioned his legal team would address allegations that he personally profited from illicit funds.
"This is the decision that we will make," Storm said. "I don’t have a 100% answer right now. I may or may not."
The conclusion of the legal dispute between Coin Center and the U.S. Treasury highlights a shift in regulatory approaches to cryptocurrency. As Storm awaits trial, he and his team are considering their defense strategy.
