Top official says US treasury does not intend to ban crypto mixing services
Brian Nelson said that the US Treasury did not intend to ban crypto mixing services, instead focussed on restricting the misuse of cryptocurrencies e.g. money laundering, and terrorist financing.
Crypto mixing platforms provide ease for cryptocurrency users to achieve privacy related to their crypto transactions. Crypto mining platforms intermix the transactions, to make it complicated to trace the origin source of the transaction. Many bad actors use such types of mixing services for illicit funding.
Recently speaking at CoinDesk’s annual Consensus conference in Austin, Brian Nelson, the Treasury’s Under Secretary for Terrorism and Financial Intelligence, said that the U.S. The Department of Justice’s actions against mixing services like Tornado Cash and Samourai Wallet makes many people in the crypto industry think the U.S. might try to ban crypto mixing completely. However, the Treasury denies this.
According to Nelson, it is an effort to drive more transparency around cryptocurrencies as well as prohibit the use of cryptocurrencies in illegal activities.
Furthermore, Nelson said that he supports crypto people for crypto-related financial privacy but he believes that the crypto leaders & the US treasury should work together to help people achieve privacy but prohibit the bad actors.
US Doj vs Tornado Cash
In 2022, the US authorities imposed a ban on the popular Ethereum mixing platform Tornado Cash and also arrested Tornado Cash developers, as they failed to prohibit the involvement of bad actors on the platform.
Many crypto people have been in support of Tornado Cash founders & helping financially to defend themselves against the charges.
Today, Ethereum co-founder Vitalik Buterin donated 559.81 ETH to back legal defense for Tornado Cash developers Alexey Pertsev and Roman Storm.
Read also: MasterCard launches Crypto Credential P2P payment pilot program
