Tornado Cash (Ethereum Mixer)
infrastructureMedia & Managed Opposition · Crypto & Digital ID
The US government sanctioned a piece of self-running software as if it were a person -- then kept prosecuting its creators even after a court threw the sanctions out.
Who they are
Tornado Cash, an open-source Ethereum tool that mixes cryptocurrency transactions to hide their trail.
What they do
It's a decentralized 'mixer' that obscures who sent what, and it was heavily used by North Korea's Lazarus hacking group and other sanctioned parties.
How it works
In August 2022 the US Treasury sanctioned it -- the first time self-executing code itself was sanctioned rather than a person; a federal appeals court overturned that in November 2024 for exceeding legal authority, yet the Justice Department kept criminally prosecuting the developers anyway.
Why it matters
The engine treats it as a prime example of the state trying to assert control over autonomous math and code, and continuing to squeeze the people behind it even after losing in court.
The engine's record — word for word
Decentralized open-source Ethereum mixing protocol. Heavily utilized by North Korean Lazarus Group + sanctioned-entity transactions. Sanctioned by OFAC August 2022 — first-ever sanctions on autonomous self-executing smart-contract code. Fifth Circuit overturned sanctions November 2024 (OFAC exceeded statutory authority); DOJ continued criminal prosecutions of biological developers regardless. Apex deployment of engine s Sanctions Kayfabe concept at smart-contract layer.
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