Tornado Cash Statement from the US Treasury Department! Can Investors Get Their Money Back?

The U.S. Department of the Treasury recently Tornado Cash made a new statement for its citizens who use it.

The Department’s Office of Foreign Assets (OFAC) has updated its statement on how US citizens and companies will comply with Tornado Cash sanctions.

With the update, a roadmap was determined on how citizens who used Tornado Cash legally before can get their funds back in the process. According to the ministry’s statement, citizens or companies will apply for a license to recover their confiscated funds.

The announcement included the following statement:

“American citizens and companies whose funds have been confiscated must document previous transactions with Tornado Cash. Citizens must apply for an OFAC license to the ministry to get their funds back. Important information such as trading hours may be requested after the application.

OFAC reiterated in the frequently asked questions section that Tornado Cash is banned in the country.

What is Tornado Cash? Why Did the USA Ban it?

Tornado Cash, Ethereum It is a privacy platform that uses its network. With the Tornado Cash application, crypto money holders could lose track of their money. The mass that benefited the most from this was cybercriminals. A lot of cryptocurrency scammers are trying to get away with using Tornado Cash.

For these reasons, the USA decided to impose sanctions on the project.

In the $600 million Axis Infinity hacking case last March, it was determined that the criminals were using Tornado Cash.

The US ban of Tornado Cash and demanding information from many “decentralized” crypto money platforms and locking some wallets have questioned the emphasis on decentralization in the cryptocurrency market.