Privacy Under Attack: Tornado Cash Creator Sentenced to 64 Months in Prison for Money Laundering

Privacy Under Attack: Tornado Cash Creator Sentenced to 64 Months in Prison for Money Laundering

Outrage over Tornado Cash creator's prison sentence for money laundering reveals threats to innovation and privacy in crypto market. Period.

May 15, 2024· 2 min read
45 score

It's outrageous what's happening in the international judicial system, condemning individuals solely for creating decentralized applications to enhance the privacy of those who value their peace of mind. Tornado Cash is a decentralized privacy-focused application built on the Ethereum blockchain.

It enables users to conduct private transactions by breaking the blockchain link between the sender and receiver of Ethereum transactions. Users can deposit Ether into a smart contract and later withdraw it from a different address, making it difficult to trace the origin of funds. This provides a level of privacy and anonymity for users who wish to protect their transaction history.

The accused simply created the Dapp and provided users with a private way to transact on the Ethereum Blockchain. This accusation is ludicrous because if people are now persecuted for bringing technological innovation to increase privacy when using money, then no one is safe in the market. Firstly, because cryptocurrencies are not regulated and are not centrally controlled, operating in a legal gray area, the actions of the courts in certain cases should be considered illegal simply by saying this, as they are based on laws made for the traditional field.

But, as they are the government, they can make and break rules, but I wonder on what basis this Dutch court withdrew the law that condemns the creator of a smart contract? First, we had the devs of the private wallet Samurai Wallet being accused of money laundering, arrested and asked to remove the app from the Play Store, consequently leading to the downfall of a private app that greatly facilitated people, and now this accusation. Coincidence? Certainly not.

It seems that governments around the world are eager to send not the real criminals but those who develop apps to facilitate or even enhance people's privacy when using their money to jail. Because the government cannot control or monitor it, it resorts to reinforcing the law. So they will continue to arrest because inventors will always exist.

Shame on the current state of legislation around the world.

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